While the downward trend in the leading cryptocurrency Bitcoin generally affects altcoins, some altcoins offer buying opportunities after their decline.
At this point, Santiment said that, according to on-chain data, most altcoin investors are at a loss and have suffered significant losses.
Based on this data, Santiment identified the most potentially bullish and bearish altcoins using the Market Cap Realized Value (MVRV) indicator.
Examining six altcoins as BAT, CHR, HIGH, ENS, OM, RSR, Santiment warned investors of ENS, MANTRA (OM) and Reserve Rights (RSR), stating that these have historically entered the bad sales zone.
However, Santiment stated that three altcoins named BAT, CHR, HIGH are in a good buy zone.
“Based on the medium-term average return of each wallet across almost all altcoins, traders are at a significant loss. The Average Value to Realized Value (MVRV) model shows that BAT is at the mathematically appropriate entry point for CHR and HIGH, while it is in sell territory for ENS, OM and RSR.”
📊 According to mid-term average returns of each wallet across nearly all altcoins, traders are well under water. The @santimentfeed Mean Value to Realized Value (MVRV) model shows mathematically viable entry points for BAT, CHR, and HIGH. Meanwhile, ENS, OM, and RSR are projects… pic.twitter.com/3fMz2hqspN
— Santiment (@santimentfeed) July 3, 2024
*This is not investment advice.
