Let's discuss the recent fundamentals regarding altcoins. Recently, many second-tier altcoins have shown a trend change; they are no longer on a continuous decline but are starting to show a consistency of gradually higher lows, indicating that the market may be entering the 'final wave of liquidation.'
If the upcoming market continues to dip, for example, falling back to the launch point around May 7, or even briefly breaking below it, it could trigger collective panic. Many people will cut losses at that time, commonly referred to as the 'sentiment bottom.'
We have calculated that in extreme cases, altcoins may still have an average downside potential of 15%-20%. Ethereum is currently at $2600; if it truly returns to $2200, it corresponds to about a 15% drop, and the technical support level coincides.
Additionally, Bitcoin's market rebound may reach 66%, during which altcoins' declines will also be amplified. If Bitcoin drops 7% and the total market cap decreases by 10%, altcoins may need to decline by an average of about 13%.
Of course, this is just an average; mainstream coins like Ethereum may drop around 10%, while lesser-known small altcoins may drop by 20%-30%.
Therefore, we recommend setting accumulation ranges in tiers:
• Ethereum: can start accumulating in batches around 2400
• Quality second-tier coins: potential drop space of 15%-20%
• High-risk small coins: best to prepare for a 20%-30% drop.
Brief summary:
• Altcoins have a maximum downside potential of 15%-20%
• ETH's critical support is around 2200
• Set accumulation ranges by coin type, treating them differently
• Hold 30% cash, short on positions
• Ethereum: can start accumulating in batches around 2400, sentiment bottom may be approaching
• If the market rises directly, do not chase; maintaining discipline is more important
3 types of altcoins with 10x potential!
1.AAVE
Aave (AAVE) is currently trading at $269.78, up 7.34% in the past 24 hours. Market sentiment is bullish, with a Fear and Greed Index of 64 (Greed), and the market outlook is optimistic. The asset's trading price is 26.7% above its 200-day simple moving average of $213.30, indicating sustained upward momentum.
The 14-day Relative Strength Index (RSI) is 52.73, indicating that AAVE is in a neutral zone, suggesting potential sideways consolidation in the short term. Aave recorded 17 up days in the past 30 days, with a 30-day volatility relatively mild at 13%, indicating price stability.
Its 24-hour trading volume to market cap ratio is 0.2137, reflecting strong liquidity relative to its market cap. A significant development is the launch of the AAVE umbrella security module, aimed at enhancing risk mitigation in decentralized finance (DeFi). This new framework replaces the previous AAVE and stkABPT models and introduces a more dynamic, automated management structure for bad debt.
The module allows stakeholders to stake aTokens as a buffer for debt events, simplifying the process of maintaining financial stability across multiple DeFi platforms. With continuously improving technical indicators, strong liquidity, and innovative developments, Aave continues to show a promising outlook in the DeFi space.
2.S
Sonic's current stock price is $0.4138, having increased by 4.74% in the past 24 hours. Despite the short-term rise, the overall price prediction sentiment remains bearish. Sonic's 24-hour trading volume to market cap ratio is 0.1155, indicating relatively high liquidity for its size.
Additionally, its 30-day volatility is 12%, indicating a mild but stable price trend for the crypto asset. Furthermore, market attention is shifting towards the highly anticipated Sonic (S) airdrop, which is planned to launch in June 2025.
This event will distribute 190.5 million $S tokens to promote ecosystem activity and reward community participation. The airdrop is managed by Sonic Labs, aimed at incentivizing users and developers to continue engaging with the network.
The allocation structure will occur in two phases. The first 25% allocated to each participant will be immediately distributed in the form of liquid $S tokens. The remaining 75% will be distributed in the form of tradable NFTs over 270 days, which can be claimed early but will incur a destruction penalty.
This dual-phase approach aims to balance immediate liquidity and long-term ecosystem stability, ensuring token recipients can participate long-term without excessive sell-off pressure.
Although the short-term sentiment around Sonic remains cautious, the upcoming airdrop introduces a structured incentive model that may attract new interest and participation from retail investors and developers.
3.JUP
Jupiter recently established a strategic partnership with the Astana International Exchange (AIX) in Kazakhstan, aiming to create a dual listing framework for enterprises. Under this plan, companies can conduct traditional IPOs on AIX while issuing tokenized stocks on the Solana blockchain through Jupiter and Intebix.
This dual strategy aims to expand funding opportunities and improve access for institutional and retail investors. Additionally, it can potentially reduce the inefficiencies of traditional stock market operations by enhancing liquidity and transparency through blockchain-based assets.
The dual listing mechanism represents an important step in the integration of blockchain and traditional finance. By connecting centralized exchanges with decentralized token markets, this move will position Bamboo Star Chain as a key player in the tokenization of real-world assets.
Jupiter's native token JUP is currently trading at $0.5486, having increased by 27.88% over the past month. The token's market cap has reached $1.61 billion, growing by 6.36%, with a daily trading volume of $52.2 million, up by 2.20%. The increase in trading volume indicates growing investor interest and confidence, potentially driven by recent developments and Jupiter's expanding ecosystem on the Solana blockchain.