The crypto market is rebounding after the massive crash on October 10, one of the largest in recent history. With nearly $19 billion in liquidations recorded, a recovery seemed unlikely, but the market showed surprising resilience.
Going forward, external developments will be key, and BeInCrypto has identified three altcoins that could be the model for this.
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Chiliz (CHZ)
Chiliz (CHZ) gained 12% in the last 24 hours, trading at $0.0355 at press time. The altcoin is attempting to recover from Friday’s 25% drop, with optimism surrounding the upcoming hard fork.
The Snake8 hardfork, scheduled for next week, will replace the current validation system, where everyone will receive equal block rewards. The new algorithm aims to boost competition among Chiliz Chain validators and encourage contributions to the network. This could trigger higher demand and liquidity, pushing CHZ past $0.0364 towards $0.0382 or higher.
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However, if the upgrade fails to generate enough enthusiasm or participation, CHZ could lose momentum. The price could pull back to $0.0330 or even fall further to $0.0304, negating the current bullish outlook and signaling a loss of investor confidence in the near term.
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Sei (SEI)
SEI serves as a warning sign rather than a competitor, with a major token unlock approaching this week. Approximately 55.56 million SEI, valued at $12.78 million, will enter circulation, potentially increasing market volatility and price pressure as supply increases significantly.
Investors looking to buy the dip after the SEI’s recent crash to a new all-time low of $0.068 should remain cautious. The influx of tokens could limit recovery potential if demand does not match supply, negating the current 12% rebound. The Parabolic SAR indicator also suggests that an active downtrend remains in play.
However, if investors effectively absorb the newly unlocked supply, the SEI could extend its upward movement. A successful recovery could push the price towards $0.244 and potentially $0.305. This would invalidate the bearish momentum.
Bittensor (TAO)
TAO emerges as one of the top altcoins to watch this week following Grayscale’s Form 10 filing with the US SEC for its Bittensor Trust. The move positions TAO for potential recognition as a reporting company, paving the way for broader institutional investment opportunities.
In response, TAO price surged 36% in the past 24 hours, currently trading at $407, just below the $410 resistance. With market sentiment improving, TAO could soon break this barrier and target $450, signaling growing investor optimism and stronger bullish momentum in the Bittensor ecosystem.
However, the Chaikin Money Flow (CMF) indicator warns that inflows could be close to saturation. Historically, CMF crossing the 20.0 threshold has often preceded market reversals. If history repeats itself, TAO could fall below $378 and eventually fall to $335, invalidating the current bullish outlook.
