Whales are on the move in the altcoin market, sparking price rally speculation

On-chain data reveals a surge in large transactions for cryptos like AAVE, ADA, and OP, signaling potential big investor accumulation

On-chain data from Santiment has detected a substantial increase in large transactions, also known as "whale transactions," for major altcoins. These transactions, exceeding $100K, are being executed by high-net-worth investors or institutions, and their activity could be a key indicator of a potential altcoin season.

Top Gainers in Whale Transactions

As of today, several prominent altcoins have experienced a surge in transactions over $100K, signaling potential accumulation by big investors. Among the top gainers are:

Aave (AAVE): In the past 24 hours, Aave has seen a 1,000% increase in transactions over $100K, bringing the total to 152.

Chainlink (LINK): Transactions on Link have risen by 700%, reaching 116.

Optimism (OP): Optimism has seen a 600% increase in transactions over $100K, with a total of 234.

Aptos (APT): Aptos has experienced a 450% surge in transactions over $100K, bringing the total to 94.

Crypto market remains in ‘zero-sum PvP game’ in altcoin space - CryptoQuant CEO

Despite these increases in whale activity, broader market indicators remain neutral.

CryptoQuant CEO Ki Young Ju pointed out the current “zero-sum PvP game” in altcoin markets. Even though Bitcoin has doubled its market cap, the overall altcoin market cap remains below its previous all-time high.

Ju observed that without fresh capital inflows, altcoin movements are largely rotational among themselves.

#Bitcoin market will likely remain slow until sentiment in the U.S. improves.There’s no significant on-chain activity, and key indicators are neutral, suggesting the bull cycle is still intact. Fundamentals remain strong, with more mining rigs coming online.If the cycle ends… https://t.co/fSWl26d0nw pic.twitter.com/byWdweZhSQ

— Ki Young Ju (@ki_young_ju) October 26, 2023

Additionally, he highlighted that only a handful of altcoins with strong use cases and narratives are likely to survive the current cycle. On-chain activity remains muted, and key indicators are neutral, suggesting that the broader bull cycle is still intact, with strong fundamentals driven by increased mining operations and institutional involvement.

Technical Analysis: Altcoin Market Cap - Key Levels for Breakout

A closer look at the altcoin market cap chart (excluding Bitcoin and Ethereum) provides further clues for a potential altcoin season.

Currently, the total altcoin market cap stands at $825.83 billion, just under the 20-day EMA of $852 billion, which is an area of substantial resistance.

Altcoin Price Prediction: Bollinger Bands & RSI Signals

The crypto market cap is testing the middle band of the Bollinger Bands (BB), indicating that price volatility remains relatively contained. A breakout above the upper BB band could signal renewed bullish momentum.

In addition, the Relative Strength Index (RSI) reads a value of 40.28. The RSI suggests that altcoins are nearing oversold territory. If RSI rebounds above 50, it could confirm a shift in momentum upward.