Ethereum has successfully established a key resistance level at $4100, not only launching an attack towards the historical high of $4867.95 set in November 2021 but also releasing a clear signal of rising risk appetite. From the cyclical patterns of market bull runs, such strong breakouts in core assets often serve as a leading indicator for the comprehensive prosperity of altcoins, with capital rotating from leading cryptocurrencies to second and third-tier tokens accelerating.
Currently, ETH's weekly increase has exceeded 19%. Behind the parabolic rise is a resonance of multi-dimensional market forces. A significant number of short positions are now facing liquidation pressure, and the short squeeze effect triggered by forced liquidations may act as a price booster. More notably, the ETH/BTC ratio has risen by 67% over the past three months, clearly indicating that capital is migrating from the Bitcoin ecosystem to Ethereum and altcoin sectors, with market risk appetite entering an expansion cycle.
Observing the funding behavior patterns, there has been a consistent accumulation characteristic on Fridays and Saturdays over the past month. Combined with historical data backtesting, Sundays to Mondays often become a time window for accelerated rebounds. This regular fluctuation reflects the rhythm of short-term capital games and suggests that institutional funds are making strategic moves during weekend liquidity adjustments.
In the context of ETH establishing a strong pattern, the undervaluation window for altcoins has already opened. Combining technical patterns, ecological data, and catalyst events, the following targets can be focused on:
SHELL: The daily level has completed a second retest confirmation, forming a typical W-bottom structure, currently in an optimized risk-reward zone, suitable for low-leverage positions or spot allocations, with a short-term target increase of 30%+, possessing explosive potential.
LTC: The short-term target of $120 has been achieved, currently consolidating in the previous high area, showing characteristics of building momentum before a breakout. If it effectively stabilizes in this range, the next target points to $145; in the medium to long term, once the bullish trend is confirmed at the daily level, the 3-day line cycle target can look up to above $230, in line with the value reassessment logic under halving expectations.
MAGIC: After experiencing a trend breakout, the space for further upward movement will be completely opened, belonging to strong trend continuation targets.
SEI: As a significantly undervalued public chain token, its trading volume in July reached $73 billion, with nearly 500,000 new wallets added, both figures surpassing Ethereum and Avalanche, and a daily trading volume of $54 million confirming ecological activity. This divergence between fundamentals and valuation endows it with strong rebound momentum. On the technical front, SEI has clear support levels, and after breaking through the previous highs and trendline resistance, it is expected to usher in greater increases. For investors who prefer stable operations, SEI is a potential coin that cannot be ignored.
SOL: The market expects its spot ETF to be approved as early as September 17; as a core vehicle for tokenized stock trading, its use case has been validated by the market. SEC approval will become a key catalyst for institutional capital entry, currently in the layout stage of an event-driven market.
PENGU: As the native token of the Pudgy Penguins NFT project, it has entered the ranks of core trading targets in the market due to the strong narrative and high trading activity of the NFT ecosystem.
Additionally, established coins like DOGE, SUI, CFX, PEPE, ADA have liquidity advantages in this round of rotation, while exchange platform tokens like BGB and BNB are expected to benefit from the rising altcoin market due to ecological synergy effects.
The breakout of ETH above $4100 is not only a milestone in terms of price but also marks the market's entry into a new phase of expanding risk appetite for risk assets. Under the dual drive of capital rotation and short squeeze, the altcoin sector is ushering in a highly certain layout window.
We can construct a diversified portfolio by combining target technical patterns, ecological data, and catalyst events to capture value reassessment opportunities during trend continuation. It should be noted that the current market has entered an accelerated emotional phase, and individuals should adopt a strategy of diversified, staggered position building and dynamic profit-taking.
Opportunities are here, assets are doubling! Follow Li Ge closely and earn big money easily.
Continued focus: OG, FIO
