Here’s why crypto prices are down on Monday, but which altcoins could see gains this week?
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The cryptoсurrency market sees sell pressure, while Bitcoin ETF Token, Meme Kombat, and Injective Protocol show bullish signs.
Crypto prices experienced notable sell pressure on Monday, Dec. 18, with market leader Bitcoin down 1.77% and others, like Ethereum and Solana, down 1.76% and 4.55%, respectively.
However, some altcoins remain unfazed, indicating they could be set for a bullish week before Christmas. These tokens are Bitcoin ETF Token, Meme Kombat, and Injective Protocol.
Cryptocurrency prices fall while Bitcoin slows amid surging fees
Bitcoin is currently trading at $41.1k after peaking at $44.6k earlier this month.
While Bitcoin’s pump was undoubtedly exciting, it displayed signs of a potential market structure breakdown.
Analyst Crypto-ROD highlighted that Bitcoin has been forming bearish divergences throughout its recent rally, implying that buyers are losing momentum.
A bearish divergence is a trend reversal signal where the price creates a new high, but the RSI indicator does not.
Consequently, Bitcoin has broken below a crucial 4-hour time frame support level, causing many altcoins to drop, too.
YouTuber Crypto Rover analyzed Bitcoin’s recent move, highlighting that Bitcoin could retrace to $39.7K should it break its current $40.6K support.
The analyst also highlighted that Bitcoin is forming a descending triangle, typically a bearish pattern.
“This pattern right here is a very bearish pattern, and honestly, if Bitcoin is really going to break below this level, I won’t be surprised if Bitcoin is going to see a significant move towards the downside.”
Crypto Rover
Another reason crypto prices are falling is that fees on Bitcoin and other layer-1 networks have recently become expensive.
Bitcoin’s rising transaction fees are due to the growing interest in Bitcoin Oridanls on the blockchain. However, X users Beatyon highlighted that this is a significant problem for the network.
“On-chain fees are $41.72. That means anyone with less than that amount cannot send on-chain from their wallet. Assuming that people want to actually use Bitcoin, anyone who has, say, $30 on-chain in their wallet is now “locked out” of their Bitcoin.”
X user Beatyon
The analyst explained the risk of rising fees and the detrimental effect it may have on mainstream adoption.
Meanwhile, Ethereum fees have reached over $100 this weekend, and users even complained that the Avalanche network was becoming congested.
Analyst WhaleWire responded to the rising Bitcoin fees, “Historically, during market peaks, #Bitcoin experiences a surge in transaction fees and network congestion.” Based on this information, Bitcoin may be near a local top.
Other analysts also believe Bitcoin may have topped out for 2024, with Michael van de Poppe speculating that Bitcoin could sell off to “beneath $40K and go back up from there towards the highs and the ETF approval.”
Which altcoins could rise this week?
However, not all cryptocurrencies are poised for a bearish near-term trajectory. Currently, among those displaying the most strength are Bitcoin ETF Token, Meme Kombat, and Injective Protocol.
Bitcoin ETF Token
Bitcoin ETF Token is a new presale token that rewards holders as Bitcoin ETFs are approved.
This crypto could explode soon because, unlike Bitcoin and other projects already on the market, it has yet to pump because it remains in its presale at a fixed price.
Given the explosive trajectory of the market in recent months, this could equate to significant liquidity inflows once it goes live on exchanges.
One of the ways that Bitcoin ETF Token rewards holders is its deflationary mechanism, allocating 25% of its total supply to be burned across five key ETF milestones and implementing a 5% burn tax on transactions that reduces by 1% at each.
Another important feature is staking, enabling holders to generate a 62% APY. However, this will decrease as the staking pool grows, incentivizing early buyers.
Lastly, it boasts a Bitcoin ETF Alerts service that directly updates users on the latest Bitcoin news from its website. This aims to foster an engaged, long-term community.
So far, the presale has raised $4.6 million in just over one month. However, market participants face their last chance to buy with the presale hard cap set at $5 million.
Visit Bitcoin ETF Token Presale
Meme Kombat
Meme Kombat is a compelling blend between GambleFi utility token and meme coin. Blurring the lines between two of crypto’s most prominent trends, analysts are backing it to 100x.
The project lets users gamble on AI-generated fights between prevalent meme coin characters within its augmented battle arena.
It features sophisticated game modes, staking with a 239% APY, and a doxxed team. 100% of tokens will be distributed to the community.
According to its whitepaper, 50% of tokens will be available at presale, 10% to DEX liquidity, 30% to staking and battle rewards, and 10% to community rewards.
Another benefit to $MK is that it boasts tangible utility, translating to steady demand. This is achieved since users will gamble on battles with the token.
Countless YouTubers and media outlets have rallied behind this one-of-a-kind use case and robust tokenomics.
Jacob Bury forecasts it could rise 10x, referencing its unique use case and blend of utility and viral potential as to why.
Meanwhile, the MoneyExpress YouTube channel believes it could 100x, while top outlets like Finbold, BeInCrypto, and CrypotPotato have also endorsed it.
Investors can buy Meme Kombat for $0.246. However, according to the cited predictions, it might rise to $0.257 in three days.
Injective Protocol
Over recent months, Injective Protocol has fared as one of the top-performing altcoins, climbing a whopping 2,000% this year.
Yet, the project has continued to surge while the rest of the market slumped, indicating tremendous potential when the market picks up again.
Currently, INJ is priced at $32.11, up 7% in the last 24 hours and 40% this week.
It holds a $2.6 billion market cap and a $337 million trading volume, up 37% in the last 24 hours.
Following Bonk, it has also recently climbed to second place on CoinMarketCap’s trending list. Given the viral nature of meme coins, this is a notable achievement, particularly considering Injective’s robust fundamentals.
Injective Protocol is a layer-1 blockchain focused on defi and cross-chain interoperability.
It has so far processed 374,176,284 on-chain transactions and averages a 0.8-second block time. Moreover, its average cost per transaction is less than $0.01.
The chain is also MEV-resistant and boasts a comprehensive stack of defi applications, enabling users to do everything from spot buying and selling to futures trading on Bitcoin and other assets from different blockchains.
Its tunnel-visioned focus on defi could present significant potential in the upcoming bull market as institutions move in and seek the most well-equipped blockchain.
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