The crypto market witnessed considerable volatility over the past month, and as we enter the second month of Q3, major developments are expected.
This could have a substantial effect on the market and the price of crypto assets. Some effects are for the good, while some are for the bad.
Bitcoin’s Price is Ready for a New All-Time High
Bitcoin is poised to reach a new all-time high, currently sitting less than 13% below the $73,800 mark. With strong momentum and positive sentiment surrounding the leading cryptocurrency, it’s possible that Bitcoin could soon surpass its previous peak.
Trading at $64,700 at the time of writing, the crypto asset is already in a bullish, broadening descending channel. This pattern projects a 21% rally, and while BTC may not rise far, a breach of the ATH is likely.
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Investors are hopeful that Bitcoin will continue its upward trajectory, especially as the broader financial landscape evolves. The cryptocurrency’s resilience and growing institutional interest are key factors contributing to its potential for setting new records.
Political Tokens Outlook
Political tokens are expected to face a decline as the excitement around the US elections wanes, particularly following President Biden’s withdrawal. The initial hype that drove these tokens will likely dissipate, leading to reduced interest and investment in this niche segment.
Over the past month, major Politifi tokens such as TRUMP, MAGA, MVP, and others have seen declines as large as 65%.
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As the political landscape shifts and election-related fervor fades, the value and relevance of these tokens may diminish. Investors should be cautious about holding political tokens, as the market’s enthusiasm is unlikely to sustain in the long term.
Altcoin Season Forecast
August is not expected to bring an altcoin season, as the broader market remains bearish. Despite occasional rallies, the overall sentiment continues to be cautious, affecting the performance of altcoins. Investors should be prepared for a slower month in terms of altcoin gains.
According to the altcoin season index, the crypto market is currently witnessing a Bitcoin Season. Unless at least 75% of the top 50 tokens, excluding stablecoins, outperform BTC, investors will have to continue waiting for the altcoin season.
Read more: 11 Cryptos To Add To Your Portfolio Before Altcoin Season
Thus, the persistent bearish trend in the cryptocurrency market indicates that significant altcoin growth is unlikely in the near term. Until market conditions improve, the focus may shift to Bitcoin and other major assets.
The post The Biggest Crypto Predictions for August 2024 appeared first on BeInCrypto.
