• Altcoins are flashing a bullish signal after last week’s crypto market downturn, according to analytics firm Santiment.
• The firm’s data indicates that most altcoins are currently trading in the underbought zone.
• Bitcoin whales have remained active throughout the recent downturn despite the sharp price drop.
Altcoins Flashing Bullish Signal After Market Downturn
Analytics firm Santiment has detected that altcoins may be showing a bullish signal after last week’s crypto market crash, as seen in their data on the market value to realized value (MVRV) metric. According to this metric, most altcoins are trading in the underbought zone, indicating potential for recovery from their losses from last week.
Bitcoin Whales Active During Recent Downturn
Despite the sharp price drop of over 13% from its seven-day high of $29,652 to its current price of $26,130 at time of writing, Bitcoin whales have remained extremely active during this period of downturn. Santiment observed a large amount of transactions worth over $1 million each and reported that the number of wallets associated with these transactions has not decreased either.
Market Returns In “Historic Opportunity Zone”
The dust is yet to settle after one of crypto markets’ sharpest drops this year, and traders remain divided on when recovery can be expected. Nonetheless, according to Santiment’s analysis, average returns for crypto assets indicate that they are now in a “mathematically historic opportunity zone”. This means that there is potential for significant gains if properly capitalized upon by investors looking to enter or re-enter the markets post-downturn.
Data Suggests Potential For Recovery
Overall, Santiment’s data suggests that there may be potential for altcoins and other cryptocurrencies to recover some of their losses from last week’s market crash due to them being priced in an undervalued position currently. While many investors remain unsure about how quickly markets will rebound following such a sudden downturn, it is clear that careful analysis and awareness can help mitigate risks posed by volatility while also providing opportunities for growth at opportune moments.
Conclusion
In conclusion, analytics firm Santiment has identified evidence suggesting that most altcoins may have room for recovery following last week’s sudden downturn in crypto markets. Despite Bitcoin’s 13% decrease from its seven-day high down to its current price at time f writing ($26130), whale activity has remained constant throughout this period as evidenced by large transactions still occurring across wallets associated with them. Overall returns indicate that we are now in a mathematically historic opportunity zone which could provide investors with chances for growth if capitalized upon correctly given their current undervalued position compared to pre-crash prices.