The crypto markets are showing signs of recovery after a sharp sell-off last week, with Bitcoin (BTC) reclaiming the $70,000 level. Among the top 10 digital currencies by market capitalization, Solana (SOL) and Avalanche (AVAX) have emerged as the top performers, recording significant gains over the past 24 hours.
Solana, currently the best-performing token among the top 10, has experienced a notable 15% gain from the lows of the sell-off. SOL surged from $165 to $190, building on its rebound from the weekend, according to CoinMarketCap data. However, analysts believe Solana may be approaching a critical zone, with certain indicators like the average directional index (ADX) and relative strength index (RSI) suggesting a potential correction or even a trend reversal.
Avalanche, the native cryptocurrency of the Avalanche ecosystem, has also demonstrated strong price performance, surging 18% from the lows of the recent sell-off. The positive performance of Avalanche may be attributed to the Avalanche Foundation’s efforts to boost its memecoin ecosystem through a liquidity injection program.
Despite concerns over more outflows from the spot Bitcoin ETFs, particularly Grayscale’s GBTC, the reclaim of the $70,000 level for BTC signals positive momentum ahead of the Bitcoin halving in April. This could set the leg for altcoins like SOL and AVAX to continue its bullish momentum.