Cryptocurrency prices are down ahead of the Fed’s interest rate decision, with Bitcoin at $93,700 and Ethereum under $2,000. Despite this, Bitcoin ETFs saw a $5 billion increase in inflows. Promising cryptos to consider now include Polkadot, Chainlink, Uniswap, and Sonic, all showing unique supportive patterns and potential for growth.
In a week filled with fluctuations, cryptocurrency prices have dipped as anticipation builds for the Federal Reserve’s interest rate decision, set for Wednesday. Bitcoin (BTC), having reached a remarkable high of $97,000 last week, is currently trading at around $93,700. Ethereum (ETH) remains below the $2,000 mark, and the entire cryptocurrency market capitalisation has slipped to $2.9 trillion, with the fear and greed index hovering at a neutral point.
Despite the pullback, there’s a bright spot: spot Bitcoin ETFs have seen inflows totalling $5 billion in just two weeks, indicating persistent interest from institutional investors. Additionally, analysts, alongside Polymarket traders, expect the Fed to implement three interest rate cuts this year. A more dovish approach from the Fed generally bodes well for Bitcoin and altcoins, injecting a sense of optimism into the market.
Now, if you’re considering which crypto assets to invest in amidst these fluctuations, some promising options include Polkadot (DOT), Chainlink (LINK), Uniswap (UNI), and Sonic (S).
Starting with Polkadot, it stands out as a contrarian pick thanks to its price being near historical lows. Notably, it has established solid support at $3.82, a threshold it’s repeatedly bounced back from in 2023. Currently, it appears to be forming a quadruple-bottom pattern, with a neckline positioned at $11.57. The harmonic XABCD pattern is also in play, indicating a potential rebound and retest of resistance at $12, suggesting a possible upside of nearly 200% from its current price.
Moving on to Chainlink, this altcoin’s strong technicals and fundamentals make it a solid buy. It holds the title of the largest oracle network in the crypto space, effectively bridging off-chain data with blockchain. Its Cross-Chain Interoperability Protocol has set the standard in the growing sector of Real World Asset tokenisation. The daily chart for LINK reveals a falling wedge pattern, which often signals bullish reversals. However, it may still experience some downward movement before resuming an upward trend.
Then there’s Uniswap, the dominant player in the decentralised exchange (DEX) world. After a steep drop of 74% since November’s peaks, it’s now seen as a prime buying opportunity, deeply rooted in fundamentals. Processed transactions have reached over $51 billion in the last month, notably surpassing PancakeSwap’s $30 billion. With the launch of its Unichain layer-2 network, which has already managed $4.2 billion in transactions recently, Uniswap is solidifying its lead.
Lastly, Sonic, formerly known as Fantom, has quickly escalated in the market. Boasting over 69 dApps in its ecosystem and a total value locked of more than $1 billion, it certainly has caught the eye of investors. In just the last week, its DEX networks reported approximately $784 million in transactions, placing it among the top 11 chains. An inverse head and shoulders pattern is forming on Sonic’s four-hour chart, suggesting a potential rally in the coming weeks.
With such dynamics at play, those looking to diversify or enter the crypto market might find opportunity in these coins as they react to both market sentiment and technical signals.
