Why These Altcoins Are Trending Today — December 23

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As a seasoned researcher with years of experience navigating the ever-changing landscape of the cryptocurrency market, I can confidently say that this latest downturn has brought about a sense of deja vu. The decline in market sentiment and liquidity seems all too familiar, reminding me of past bear markets we’ve weathered together.

Contrary to the initial week of December, which witnessed significant crypto price increases, the most recent week has shown a distinct drop in prices across the market. This widespread downturn has led to no substantial pump for two out of the top three trending altcoins over the past 24 hours.

It’s probable that the downward trend is caused by a mix of pessimistic market opinions and a substantial decrease in available funds. As reported by CoinGecko, the three most popular altcoins today, December 23, are Hyperliquid (HYPE), Pudgy Penguins (PENGU), and Virtuals Protocol (VIRTUAL).

Hyperliquid (HYPE)

Occasionally, HYPE, the token for Hyperliquid’s decentralized exchange, has made it onto popular altcoin lists thanks to price spikes. But today, the opposite is happening, as HYPE’s value has dropped by 14.70% over the past 24 hours.

The drop in the altcoin’s value isn’t solely because of increased selling. It seems there are reports suggesting North Korean hackers may have infiltrated the Hyperliquid system. This revelation has led to on-chain data showing investors withdrawing approximately $60 million from the platform.

As a crypto investor, I’m observing that this figure equates to roughly 3% of the entire value of my assets. Technically speaking, the Bull Bear Power (BBP) has dipped into the negative zone. The BBP is a tool that gauges the balance between the buying power of bulls and the selling pressure from bears.

When the reading is positive, it means bulls are dominant, and the price can increase. But in this case, it is the other way around. If this trend fails to change, HYPE’s price might drop to $22.39.

Should purchasing activity intensify for this altcoin, a rise towards $35.76 could potentially transpire, given the market dynamics.

Pudgy Penguins (PENGU)

Previously noted, the value of PENGU hasn’t seen an upward price movement, which is unusual given its current popularity among altcoins. Unlike the Hyperliquid token, however, the price of Pudgy Penguins has remained steady at approximately $0.027 for the past day.

Based on the one-hour analysis, the Relative Strength Index (RSI) fluctuates near the 50.00 neutral zone. This suggests that the feeling towards the altcoin isn’t overwhelmingly negative or positive.

In other words, the price of the altcoin may continue to fluctuate around $0.025-$0.030, but a strong bullish momentum could cause it to increase and potentially reach $0.050.

Simultaneously, an increase in demand to sell could challenge the current positive trend. Under such circumstances, the value of PENGU might drop below $0.020.

Virtuals Protocol (VIRTUAL)

Among the top three trending alternative cryptocurrencies, VIRTUAL stands alone as the one experiencing a price rise. In fact, over the past 24 hours, its value has gone up by 6.90%.

On a 4-hour scale, the altcoin bounced back after buyers successfully protected its support at $2.25. Consequently, the digital coin’s worth climbed to $2.67. Yet, potential obstacles may arise for VIRTUAL around $2.83.

Should VIRTUAL manage to break through its resistance at $3.32, it could potentially reach that price point. But if it doesn’t surpass this resistance, it might not realize such an increase. Conversely, if it fails to maintain its value, it could drop down to $2.03.

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2024-12-23 19:04