Altcoin Sherpa, a popular analyst, shared an optimistic outlook on the altcoin market.
On X, the cryptocurrency commentator pointed to the consolidation pattern in the chart of Render (CRYPTO: RNDR), a project focused on decentralized GPU rendering.
He noted the similarity of this pattern to “a lot of good charts,” suggesting a potential breakout for RNDR and potentially other altcoins in the near future.
“RNDR: you know, a lot of good charts have this same type of price action,” Altcoin Sherpa said. “I think now is a great time to scale into many altcoins that you like and just sit on them. The next leg seems like it’s going to come in the next few weeks.”
Solana
Altcoin Sherpa also offered his insights on Solana (CRYPTO: SOL), a major Ethereum competitor.
He believes SOL could experience a price dip before a potential rally.
“SOL: I think this remains a good area to buy and scale in,” he said. “Would DCA (dollar cost average) from here to $140 personally.”
Dollar-cost averaging (DCA) is an investment strategy where investors buy a fixed amount of an asset at regular intervals, regardless of the asset’s price.
Here, Altcoin Sherpa suggests buying SOL gradually as the price potentially dips towards $140.
In another tweet, Altcoin Sherpa expressed bullish sentiment towards RSS3 (CRYPTO: RSS3), a decentralized information processing protocol.
He believes RSS3 is currently consolidating and poised for a price increase.
“RSS3 is consolidating here in my opinion,” he stated. “I think the next leg is coming. In this one personally and have a node. Bullish.”
Also Read: Can You Make Millions In Minutes? This Trader Found Out The Hard Way
Pentoshi Cautions On Short-Term Altcoin Performance
Not all analysts share Altcoin Sherpa’s immediate optimism. Crypto analyst Pentoshi took a more cautious stance on altcoins in the short term.
While acknowledging the long-term bullish trend, Pentoshi believes a pullback and consolidation period might be imminent for altcoins.
“First bearish post in a very long time,” Pentoshi said.
“This is only a short term view,” Pentoshi said. “Not high time frame. But I do believe we likely see the market pull back again and then consolidate in terms of alts.”
Pentoshi clarified that he doesn’t advocate for exiting positions entirely. Rather, he suggests having stablecoins ready to capitalize on potential buying opportunities that might arise during a pullback.
“I don’t think it’s worth ‘exiting positions,'” he said. “But more just haven’t stables ready for opportunities that may present themselves. The trend is clearly up on all time frames.”
What’s Next: With the Bitcoin halving only weeks away, its impact on the altcoin market will be monitored by traders and investors alike.
These topics are expected to be thoroughly explored at Benzinga’s upcoming Future of Digital Assets event on Nov. 19.
Read Next: Coinbase Legal Setback: Court Rejects Motion To Dismiss SEC’s Securities Allegations
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