The crypto market has plunged lower today as BTC has dipped to $41K level and ETH is steering clear of $3K. Most altcoins on the chart are losing gains today as the market bleeds red.
However, the success of Cardano (ADA), Binance Coin (BNB), and two other altcoins, according to crypto researcher Nicholas Merten, shows that the digital asset markets are not yet in bear zone.
Merten claims that one of the primary hallmarks of a crypto bear winter is when altcoins start bleeding against Ethereum in a new strategy session.
Cardano (ADA)
He points out that Cardano in its Ethereum pair (ADA/ETH) has surged over 30% in the last month, indicating significant investor desire for altcoins despite price volatility.
ADA/ETH has made around a 33 percent rise here since December, about a month ago, there has been a 30 percent increase in value against Ethereum. So that’s a little intriguing. Assumption was that ADA would suffer more bleeding than Ethereum.
“We’re not here to follow the crowd. The crowd was extremely bullish on ADA back here a couple of months ago. Now we’ve got a discount, and it’s starting to trend higher. That’s something that interests me.”
Binance Coin(BNB)
According to Merten, Binance Coin’s Ethereum pair (BNB/ETH) is telling the same narrative.
The token might really start to see a move higher if we go back above resistance at 0.16 ETH or $521. We haven’t seen any significant leakage against Ethereum, as we should, he said.
Avalanche (AVAX)
Despite having made significant gains over the previous year, smart contract platform Avalanche (AVAX) still appears positive against Ethereum (AVAX/ETH), according to the analyst, which speaks good for the crypto markets as a whole.
The analyst says that honestly the chart hasn’t been horrible. The token has got higher lows here, as well as a consistent historical resistance range. If it rises over this range [0.03 ETH or $97], he believes AVAX will continue to rally strongly against Ethereum with a strong weekly closing.
Solana(SOL)
According to Merten, Ethereum competitor Solana (SOL) is also putting up a good fight against ETH. According to him, SOL/ETH appears to be resilient, which could indicate that Solana is poised for another leg up in its bull cycle.
The analyst says, Momentum has shifted there. It’s been stuck in a rut against ETH since September. Despite this, there hasn’t been a significant sell-off. In no way, shape, or form. So the only question is whether it will break below the lows of 0.038 ETH ($123) or will it rise to 0.06 ETH ($195) and begin to trend higher.
Source: https://coinpedia.org/altcoin/heres-why-ada-bnb-avax-sol-price-are-not-in-bearish-market/