Altcoin Guide to Maximize Q4-2024 Gains

Altcoins are looking poised to take off. But if you’re still unsure when to jump in, this Altcoin Guide will help you position yourself for success.

This Altcoin guide explains how you can navigate altcoins with more confidence. Let’s dive in.

1) A Confirmed Bitcoin ($BTC) Breakout

Let’s start with Bitcoin because it leads the rest of the market trends. More so, it is a general observation that when the value of Bitcoin increases, the price of altcoins will also go up. Bitcoin has only now closed its first daily candle above $65000, a decided midrange. If Bitcoin remains above this level, whenever it receives a weekly or monthly close above it, we are on the verge of an all-time high (ATHs).

It is also important to follow this because altcoins follow the trend once Bitcoin starts to move.

2) Altcoin Index Breakout

Following the artificial intelligence market is the altcoin market. The index for all altcoins, known as the “TOTAL 3,” has formed its first higher high since June last year. This could mean that after a long decline, we are again heading to an upward trend with pressure.

Finally, if all these indicators should rise, then the arrival of higher highs or higher lows confirms this uptrend. This doesn’t mean that the upward trajectory will be devoid of lows. Those lows might be excellent entry points to some almost certain fire altcoins.

3) Macro Backdrop: FED & China Boost

We also see a favorable macroeconomic environment. The market has responded well to the new changes, including a 50 basis points cut on interest rates by the Federal Reserve.

At the same time, China is providing some 1 trillion yuan ($141.7 billion) of long-term liquidity to its economy. Both factors enhance the liquidity and hope to represent good news for Bitcoin and other cryptocurrency assets.

4) Stock Markets at All-Time Highs

Stock markets are hitting record highs. If Bitcoin catches up to the current momentum in equities, we could see Bitcoin testing levels as high as $81,000. That would set the stage for a massive altcoin rally.

5) China’s Economic Stimulus

Another is how China has sought to stimulate its economy. It seems they will infuse good amounts of money into the market, which is a good sign for high-risk investments like Bitcoin. However, this will have a bullish domino effect on equity and cryptocurrencies.

Is This Another Fake Rally? Here’s Why It Might Not Be

Even with all these sentiments, some traders think this may be a “fakeout.” However, two critical factors suggest that the real rally might be starting:

Retail Investors Are Absent

Despite seeing many signs that people are becoming bullish again, retail traders have yet to return to the market. This rally is led by crypto insiders and long-time traders. When retail returns, the market could explode.

Funding Rates Are Low

Another good sign is that leverage in the market is low compared to previous highs, like the wild meme coin craze back in March. In the end, high leverage enabled a lot of volatility. Now, things are much more stable.  Instead of experiencing a huge spike in demand one day, the market will most likely grow with time.

4-Step Altcoin Guide for Q4

Now that we’ve covered the factors at play, here’s my simple four-step strategy to help you maximize your altcoin gains this quarter:

Step 1: Identify Sector Leaders

Any company heading towards popular sectors such as AI, meme coins, real-world assets, and L1s is worth investing in. You can check out these sectors because they are most likely to sustain high performance.

Step 2: Set Up Your Watchlist

Get ready with your list of stocks on charting websites such as Trading View. Arrange it by sector and be aware of all the major altcoins you need to invest in. But when the market picks up, you need to be in a position allowing you to respond.

Step 3: Buy the Dips

Waiting for pullbacks and buying at some important support levels is a wise decision. Place limit orders, or if you are ready, get in when the prices reach such high-time-frame (HTF) support zones. The current bull market strategy will offer a way of not investing at the highs, thus maximizing potential profit.

Step 4: Use Funding Rates to Gauge Market Sentiment

Keep an eye on funding rates to gauge market sentiment. Funding rates should not be too high because it is time to take profits once they get there. You don’t want to get caught in the mania, so use funding rates to stay ahead.

Conclusion

By following this Altcoin Guide—you can properly position yourself to get the most return on your investment that is in your best interest. The fourth quarter looks quite eventful for altcoins, with many indicators pointing towards a rally period.

The market will sometimes fluctuate, so sticking to a clear plan is best. It is time to gear up and make hay while the sun shines.

$cbBTC

Disclaimer

The information discussed by Altcoin Buzz is not financial advice. This is for educational, entertainment, and informational purposes only. Any information or strategies are thoughts and opinions relevant to the accepted levels of risk tolerance of the writer/reviewers and their risk tolerance may be different than yours. We are not responsible for any losses that you may incur as a result of any investments directly or indirectly related to the information provided. Bitcoin and other cryptocurrencies are high-risk investments so please do your due diligence. Copyright Altcoin Buzz Pte Ltd.

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