The crypto industry saw a spectacular run in Octobersuch as a few cryptocurrencies such as Bitcoin and Solana recorded new annual highs. But the entire market seems to be take a moment to catch your breath after this action-packed October in which Bitcoin, XRP and Shiba Inu led impressive rallies.
On-chain data, especially from crypto analytics platform Santiment, showed October ending somehow bearish. But the history from this particular metric suggests the rally may not be over yet.
XRP and Shiba Inu rally are not over yet
The first few days of November seem to be devoid of any significant cryptocurrency price movements, with the exception of occasional whale transfers. At the time of writing, XRP and SHIB are down 1% and 2% respectively within a 24-hour span. Bitcoin and Ethereum are also down 2.51% and 1.93% respectively. Some crypto experts attribute this decline to traders making profits, while others believe the crypto market has returned to the normalcy of bearish sentiment.
Popular crypto analysis platform Santiment predicted this sentiment a few days ago. According to Santiment, the Bullish vs. Bearish Sentiment keyword changed toward a bearish ratio at the end of October. The metric, which tracks various keyword mentions such as “buy,” “sell,” “buy,” “sell,” “top” and “bottom” on social media, spent most of October at the bullish end of its range .
The company was quick to point out that previous examples of higher ratios of bearish keywords had preceded gains in the market cap of popular cryptocurrencies. Beyond Bitcoin, on-chain metrics and fundamental analysis point to a continued rally for XRP and SHIB. According to this indicator, these two cryptocurrencies in particular have dominated social mentions in recent months.
After the trading crowd remained pretty neutral this weekend, @santimentfeed data indicates that current sentiment has reversed #bearish again. In the previous cases of higher negative keyword ratios, #Bitcoin and other market capitalizations rose.
https://t.co/2p2uVitBkX pic.twitter.com/0vn3HGC7Gr
— Santiment (@santimentfeed) October 31, 2023
Altcoins are still primed for growth
On the fundamental side, XRP has done extremely well, especially if trading resumed on various crypto exchanges. XRP is up 32% since the start of the year, and several analysts have done so as well indicated a new price increase.
A look at XRP’s price action shows a series of higher lows since October 30, indicating easing pressure from the bears. XRP is now trading at $0.6036, and the bulls could make another attempt to break the last higher high of $0.62 if the price remains above $0.60.
SHIB has also followed a similar path, with updates to its ecosystem such as Shibarium contribute to various price increases. SHIB’s price momentum has slowed at the time of writing, but planned updates to the Shina Inu ecosystem could lead to another price increase soon.
At the same time, signals along the chain point to more bullish then bearish. SHIB whales have that resumed large transfers to private wallets, as evidenced by data from Whale Alerts. SHIB is trading at $0.000007788 at the time of writing.
Despite the entire market capitalization falling by 2.24% in the past day, data from Coinmarketcap shows indicates greed on the Fear & Greed index.
SHIB holding steady above $0.000007 | Source: SHIBUSD on Tradingview.com
Featured image from Medium, chart from Tradingview.com