Fed Chair Jerome Powell’s dovish Jackson Hole address has sent altcoin prices soaring, with Ethereum leading the rally.
The Ethereum price hit a fresh all-time high on Friday after four years, surging to $4,885 after a 14% daily green candle.
Even as ETH consolidates, altcoins are breaking out with strength. In particular, Ethereum ecosystem coins like Arbitrum, Aave, Ethena and Lido DAO are among the top gainers.
The Solana meme coin sector is seeing a strong bounce as well, with Pudgy Penguins, SPX6900 and Fartcoin leading the pack. Large-caps including Solana, Dogecoin and Pepe are also up more than 10%.
The bull market euphoria is returning, and even high-upside small caps are in high demand. The new BTC layer-2 project, Bitcoin Hyper (HYPER), has raised nearly $12 million in its ICO. Several analysts are calling HYPER a high-beta play on BTC, with some anticipating up to 100x returns.
Ethereum Hits New All-Time High, Are Sidelined Investors Now Too Late?
After four long years of FUD and underperformance against BTC and Solana, Ethereum has finally hit a new all-time high.
The ongoing stablecoin adoption, aggressive accumulation by treasury firms and strong demand by whales have created a significant buying pressure on the largest altcoin.
Crypto thought leaders remain confident that Ethereum is still in the early stages of its broader rally. The largest ETH treasury firm BitMine’s Chairman Tom Lee remains confident that the ETH price will hit at least $10,000 this year and could trade as high as $16,000.
Indeed, $10k is emerging as a consensus year-end price target for ETH.
Therefore, sidelined investors aren’t too late, but they should still be cautious about FOMO buying Ethereum at its current price. Its price has formed a bearish divergence with its RSI as well as its on-balance volume (OBV) in the daily timeframe, which could result in another dip before a bullish continuation.
Altcoin Prices Pumping, But What is the Best Crypto to Buy?
As it turns out, Ethereum’s consolidation after hitting an all-time high is exactly what the altcoins needed.
Into The Cryptoverse’s Benjamin Cowen highlights that $ALTS are down by 53% against Ethereum since April. However, he anticipates that the capital will start to pivot back to altcoins after ETH’s new all-time high.
Instead of going all in on ETH, sidelined investors should get exposure to Ethereum ecosystem coins like Arbitrum, Aave and Ethena, each up by over 20% in the past 24 hours.
Meanwhile, Pepe is currently trading over 60% below its all-time high and is highly undervalued. Experts project that the popular Ethereum meme coin might reach a $20 billion valuation this year, which is double its previous peak.
Solana meme coins continue to be in high demand. Legendary trader Bluntz has revealed Fartcoin and Pudgy Penguins as the SOL coins with the best risk-reward ratio. However, SPX6900 shouldn’t be ignored after its recent Coinbase listing.
Small Caps in High Demand, Bitcoin Hyper Raises $11.5M in Presale
The bull market euphoria is returning, which provides the perfect backdrop for small caps to deliver outsized returns.
Bitcoin Hyper (HYPER) has emerged as one of the hottest low-cap coins, having already raised nearly $12 million in its presale.
It is the newest BTC layer-2 project, which uses the Solana Virtual Machine and cutting-edge zero-knowledge architecture to tackle Bitcoin’s poor scalability and network throughput. It aims to bring the programmability and performance of modern blockchains to BTC, without disrupting its decentralization.
The strong demand for HYPER isn’t surprising. As such, layer-2 coins like Arbitrum and Optimism are finally pumping. These also have high upside potential, as they are being viewed as beta plays on large caps like Bitcoin and Ethereum.
In fact, most layer-2 coins, including Bitcoin’s Stacks, tend to reach multibillion-dollar valuations.
Unsurprisingly, whales aren’t missing out on this opportunity to accumulate a low-cap BTC layer-2 coin early in its presale. Just last week, a whale purchased over $150k worth of Bitcoin Hyper.
Prominent analysts are also bullish on HYPER’s upside potential. Considering its low-cap nature and that the BTC price is expected to hit $200k this year, many are viewing it as the next 100x crypto.
