The cryptocurrency market is showing renewed bullish momentum, as Solana (SOL) and Litecoin (LTC) saw notable gains on Tuesday. The global crypto market cap rose by 4.42% at the time of writing, with Solana up by as much as 15% and Litecoin reaching a five-week high.
Solana (SOL), which had dropped to $20.18 at the start of the week, climbed to a peak of $23.20 on Tuesday. This marked the token’s strongest point since March 20, when it reached a high of $23.99. The move coincided with the 14-day relative strength index (RSI) crossing a ceiling at 58.00. The index is currently tracking at 63.74, marginally below a higher resistance level of 64.00. If the RSI continues to rise, Solana could surpass $24.00.
Meanwhile, Litecoin (LTC) surged to a high of $96.89, up from a low of $92.37 the day before. The token hit its highest level since March 2 when it traded at $98.34 before prices briefly rose above a key resistance level of $95.50. Litecoin is currently trading at $95.41, still 2.61% above Monday’s low.
In the broader market, bullish sentiment has returned to cryptocurrencies, with Bitcoin hovering around a value of $60,000 after briefly surpassing it. Ethereum rose above $2,200, while XRP, Cardano, and Polkadot also saw gains.
Some factors driving this renewed bullish momentum could be the recent Coinbase IPO, which has garnered a lot of attention in the market, and the growing interest in NFTs (non-fungible tokens). Additionally, the Federal Reserve’s commitment to low-interest rates and continued monetary stimulus has raised concerns about inflation and has led investors to seek alternative assets such as cryptocurrencies.
Despite the recent gains, investors should remain cautious and aware of the volatile nature of cryptocurrencies. The market can quickly shift in either direction, and sudden drops have been known to occur. It’s crucial to do proper research before investing and to never risk more than you can afford to lose.
In summary, the cryptocurrency market is showing renewed bullish momentum, with Solana and Litecoin leading the way. While there are several factors driving this trend, investors need to remain cautious and aware of the market’s volatility. Proper research and risk management are crucial when investing in cryptocurrencies.