The crypto market will be hoping for a better week as most cryptocurrencies suffered a harsh reversal last week. Bitcoin price remained below $105,000 but may be on the verge of a significant breakout after forming a bullish pennant and a cup-and-handle pattern.
Cryptocurrencies will also react to Moody’s decision to downgrade the US credit rating from Aaa to AA1, citing the rising US public debt and the ongoing mismanagement by Washington politicians. This article explains why the top cryptos to watch this week will be Solana (SOL), Pi Network (PI), and the Trump Meme Coin (TRUMP).
Solana (SOL)
The price of Solana suffered a big reversal last week, moving from a high of $185 to $163 as the crypto bull run slowed down.
This week, the SOL coin will be in the spotlight as the network unlocks tokens worth over $150 million. These unlocks will account for about 0.17% of the float.
Token unlocks are often considered highly bearish because they introduce new coins to the market, diluting existing investors. They are also considered bearish due to the demand and supply dynamics, which cause an asset’s value to drop when supply increases.
Solana price will also be in the spotlight as traders watch meme coins in its ecosystem and whether they will bounce back or continue their recent downward trend.
Pi Network (PI)
Pi Network will be another top crypto to watch this week. Its price continues its downtrend after last week’s ecosystem news backfired. The developers announced the launch of Pi Network Ventures, which will invest $100 million in startups using its technology.
Critics viewed the launch as insensitive, as it failed to address the network’s most critical factors. For example, it did not address the ongoing token unlocks that are boosting supply at a time when demand is falling.
The ecosystem also did not address the centralization that has led most exchanges to avoid listing it. These exchanges are concerned since about 7.2 billion Pi Coins are in circulation against the supply cap of 100 billion tokens.
The locked tokens are in addresses controlled by the developers, exposing the risk of a token dump or hack. Most importantly, Pi Network is not audited, exposing it to substantial risks.
Trump Meme Coin
The Trump Meme Coin price has been under pressure in the past few days. It will now be in the spotlight as its top holders travel to meet with Donald Trump at his hotel in Virginia. The top holders will also take a VIP tour, possibly at the White House.
The Trump Meme Coin price is likely to crash as many holders dump the token. Additionally, it has formed a double-top pattern at $15.15. As a result, the token is likely to experience a strong bearish breakout, with $10 being the next key level to watch, marking the neckline of this pattern.
