Recent Trends in Altcoins - March 4

The cryptocurrency market has seen a significant reversal of its weekend gains, with Bitcoin (BTC) and several major altcoins undergoing notable corrections. Amidst this turmoil, specific altcoins have caught the attention of investors due to various catalysts affecting their performance. Today, we take a closer look at GoPlus Security (GPS), Cardano (ADA), and Hyperliquid (HYPE).

GoPlus Security (GPS)

GoPlus Security, represented by its native token GPS, is gaining traction as it plays a crucial role in user transaction security. A major reason for its rise in interest is Binance’s recent announcement regarding the launch of the GPS HODLer Airdrop. Set to commence in just six hours, this airdrop will coincide with Binance listing the altcoin and establishing trading pairs with USDT, USDC, BNB, FDUSD, and TRY.

The buzz surrounding the airdrop has triggered a surge in GPS trading activity, pushing its price up to $0.14, marking a 10% increase in the last 24 hours. The trading volume reflected an impressive $34 million, which soared by over 300%. Should this momentum persist, we could see GPS break past the resistance at $0.15 and aim for $0.18. However, if profit-taking persists, we may witness a drop back to $0.13.

Cardano (ADA)

Cardano (ADA) has also made headlines as it has been included in a proposed reserve of digital assets by former President Donald Trump. Following the announcement on March 2, ADA’s price surged, but the upward momentum has since diminished. Currently trading at $0.80, ADA has experienced a 22% decline over the past 24 hours.

Recent readings from the Balance of Power (BoP) indicator have shown negative values, suggesting a dominant bearish sentiment. The BoP now rests at -0.49, indicating that sellers are outweighing buyers. If this trend continues, ADA could breach its support level at $0.72, potentially dropping to as low as $0.60. Conversely, an increase in demand could shift the tide, enabling ADA to climb back to $0.94.

Hyperliquid (HYPE)

Hyperliquid’s HYPE token is another altcoin trending in the market, primarily due to notable whale activity on its decentralized exchange (DEX). Recently, a whale deposited 2 million USDC to long Solana (SOL), resulting in a 25% increase in trading volume on Hyperliquid.

Despite the attention from such activities, HYPE is currently down by 15% in the last 24 hours, trading at $16.15, as it follows the wider market's downward trend. If selling pressure continues, HYPE may slip below its support level of $15.73, risking a drop to an all-time low of $10.44. However, a favorable market shift could see its price reach as high as $19.89.