NOIDA (CoinChapter.com) — Bitcoin (BTC) price rallied to $50,000 after a hiatus of over 2 years from the price level. The rally saw an increase in FOMO, with those who missed entering the BTC market looking for the top altcoins that could beat Bitcoin in 2024.
Institutional interest from the spot Bitcoin ETF launch and other macro factors helped the Bitcoin price rally cross $50,000. Here are the top altcoins likely to outperform Bitcoin in 2024.
1. Ethereum (ETH)
Recognized for its transition to a Proof-of-Stake consensus mechanism and potential developments like a spot Ethereum ETF. Ethereum’s technological advancements and its central role in the DeFi and NFT sectors make it a strong candidate.
Bulls are trying to press their advantage, hoping to push ETH price above the resistance near $2,900. However, the overbought RSI might force the token to pare some gains. Despite the correction, ETH remains one of the tokens to look out for in 2024.
A key bullish cue that might help Ethereum outperform Bitcoin in 2024 is the upcoming SEC decision on spot ETH ETF launch.
The speculations of investment firms working on a spot ETH ETF have buyers entering the market in droves. A key reason behind the optimism is that the BTC spot ETF approval sets a regulatory precedent, making it, in principle, easier to get approval for ETH spot ETF.
2. Solana (SOL)
Praised for its high throughput and low transaction costs, Solana is a key player in the DeFi, NFT, and dApps ecosystem. Moreover, traders are eyeing the token as a prospective altcoin that could outperform BTC in 2024, especially its role in blockchain scalability and efficiency.
The team at Solana has made expansive plans for 2024, with DeFi being a key focus point. Additionally, platforms like Orca and Raydium would likely lead the way for Solana’s DeFi expansion plans. The projects focus on yield farming and liquidity provision, making the DeFi sector more accessible to retail traders.
Furthermore, market participants speculate that Solana NFTs might sideline Ethereum NFTs in 2024. One reason behind the speculation is that Solana NFTs are cheaper to trade than Ethereum ones, which could attract new market entrants.
3. Polygon (MATIC)
As a leading layer-2 scaling solution for Ethereum, Polygon addresses the congestion and high fee issues of the Ethereum network, promising faster and more affordable transactions. It’s gaining momentum fast and is predicted to reach new price milestones in 2024.
With the Polygon team likely to introduce more updates in the coming months, FOMO could see MATIC’s price rise past the $1 mark for the first time since April 2023.
Moreover, flipping the psychologically vital $1 resistance could be the key to setting new highs, helping MATIC become one of the altcoins to outperform Bitcoin in 2024.
4. Chainlink (LINK)
Chainlink is crucial in bridging the gap between real-world data and smart contracts through its updates in the DeFi, real-world assets (RWA), and NFT markets. Its importance in the crypto ecosystem could help the token register impressive gains in 2024, likely helping it outperform Bitcoin this year.
Meanwhile, the protocol’s fans have been active on social media, with one LINK trader claiming that Chainlink is “the God protocol” regarding bullishness. Moreover, LINK’s exchange reserves reached their lowest levels since June 2022 in January this year.
Another bullish cue for LINK price comes from a bullish technical pattern called the ‘bull flag.’
Per the rules of technical analysis, LINK price might rally over 174% to reach the theoretical price target near $41.8 if the Chainlink token confirms the pattern. LINK price has lined up several bullish cues which might help the altcoin outperform BTC price action this year.
5. Arbitrum (ARB) and Optimism (OP)
Both are notable for their contributions to the Ethereum ecosystem as layer-2 scaling solutions. They promise enhanced transaction speeds and lower costs, supporting Ethereum’s scalability and efficiency. Both the tokens are on the watchlist of most crypto traders in 2024.
Furthermore, the upcoming Ethereum EIP-4844 upgrade is a key part of Ethereum’s roll-up-centric roadmap. As a result, Arbitrum and Optimism projects could see increased investor interest in the coming months.
These tokens are expected to follow Ethereum’s bullish direction, making them compelling options for traders looking for altcoins that will outperform Bitcoin in 2024.
