As 2023 comes to an end, Bitcoin maintains its strength above the $44,000 mark, setting the sentiment for a positive end to the year. This bullish trend is influencing the altcoin sector, where several altcoins have broken their monthly resistances. Additionally, meme coins have experienced a solid surge in recent days. Notably, coins like Bonk, Terra Luna Classic, and Cardano have surpassed key resistance levels, indicating potential for a trend continuation.
Altcoin Market Cap Breaks Above Accumulation Zone
A technical analysis on the altcoin market cap shows a significant breakout from an accumulation range, dating back to 2022. The analysis indicated that altcoins, which had a market capitalization of $723 billion in the chart, are currently in a “retest” phase.
This phase, if it follows the pattern of the last cycle, could potentially trigger the next phase of significant growth in altcoin markets, often referred to as “altseason.” The analysis suggests that the market cap of altcoins could reach new heights, possibly exceeding $1.8 trillion in 2024.
However, there’s a possibility that this retest phase might not succeed, leading the market back into the accumulation phase. Such a development would invalidate the current analysis and could delay the anticipated altseason.
Bonk (BONK) Price Analysis
Over the last 30 days, BONK price made a remarkable surge of over 700% due to increasing buying demand. Currently, the momentum is favoring buyers as they continue to form new highs despite facing rejections.
The bulls will likely make further push and break the immediate resistance at $0.000015. Achieving this could lead to a significant rise in the Bonk price, potentially reaching a new high next week.
On the other hand, a decline will be faster than its surge as a drop below the 20-day Exponential Moving Average (EMA) will indicate a profit-taking sentiment.
Terra Luna Classic (LUNC) Price Analysis
LUNC price has recently triggered a correction mode, which might be a profitable opportunity to invest. As the RSI still holds above the midline at level 65, there’s a hope of a bullish comeback in the coming week.
The bulls will attempt to reignite the upward momentum and send the price towards the key resistance at $0.00028 if they defend $0.000126. This price point may provoke strong selling efforts from the bears.
A breakdown near the support will strengthen selling pressure and validate a bearish trend if buyers exit the market.
Cardano (ADA) Price Analysis
Cardano has been performing strongly since it surpassed the $0.40 resistance. Buyers sent the price to a high of $0.65 but failed to continue ahead due to increasing bearish positions.
The next notable resistance level to observe is $0.69. However, the RSI’s overbought condition indicates a potential for a minor correction or a period of stabilization in the short term. If the bulls maintain their position close to the current level, it may set the stage for an upsurge to $0.89 next week.