Which Best Crypto To Buy Now: XRP, SOL, ARB

23.01.2024

The sell-off in the market since last week continues to drive investors out of their comfort following a remarkable rally from mid-October. Cryptocurrencies are bleeding immensely, led by Bitcoin price return to $40,000 after touching 2024 highs at $49,000. While this would have been an excellent time to buy the dip, the uncertainty hovering above the market offers little hope for an immediate recovery. Therefore, investors may want to consider the best crypto to buy — the likes of XRP, Solana (SOL), and Arbitrum (ARB).

Each of these tokens has over time shown resilience and the ability to recover. XRP almost climbed to $1 in July following Ripple’s partial win against the Securities and Exchange (SEC) while Solana (SOL) emerged as a top performer in Q4, exploding to $126 in December from $20 in October. Arbitrum (ARB), on the other hand, has recently hit a new all-time high of $2.4 but at the time of writing, the token exchanges at $1.7.

Finding suitable cryptos to build the portfolio is a crucial part of becoming a successful trade. This article aims to identify, analyze, and gauge the potential of XRP, SOL, and ARB dips to turn profitable as the market rebounds.

Is XRP The Crypto To Buy Today?

The XRP price has experienced a gradual recovery since early 2023, supported by an ascending trendline. This trendline has effectively provided support during significant market downturns, encouraging buyers to maintain an upward trajectory.

Notably, the coin has rebounded from this rising trendline on three occasions, demonstrating continued investor interest in acquiring XRP during dips—a clear indication of bullish sentiment.

Should XRP maintain its position above this support level in the forthcoming days, investors can anticipate an additional upward movement, continuing the existing sideways trend.

XRPN price chart | Tradingview

For XRP to embark on a steady recovery path, buyers must overcome two key resistance trendlines, depicted as blue and green in the accompanying chart. A decisive break above these trendlines would indicate an end to the ongoing consolidation phase and signal the beginning of a new phase of recovery.

Key Levels To Watch Solana (SOL) Tumbles

With a market capitalization of approximately $39 billion, Solana remains the fifth-largest cryptocurrency, according to CoinMarketCap. The trading volume over the last 24 hours, which saw an 88% increase to $1.8 billion, indicates that more investors are engaging in trading activities. Over the past week, Solana’s price has fluctuated between $102 and $87, indicative of a lateral trading pattern within narrowing trendlines.

Over the past year, Solana has notably outperformed Ethereum, showcasing a remarkable surge of over 240%, starkly contrasting with ETH’s more modest 44% gain. Despite the current market downtrend, this significant growth differential highlights Solana’s stronger investment appeal and resilience compared to Ethereum in the same period.

Solana price prediction

If this downward trajectory persists, projections indicate that Solana price prediction could plummet by an additional 20%, potentially reaching a support zone within the $70-$72 range. However, a rebound to the triangle’s support trend line could halt this bearish trend, potentially leading to a 30% surge in Solana’s value, pushing it toward the $115 resistance level.

Arbitrum (ARB) 30% Drop From ATH Keeps Investors On The Edge

Arbitrum price is in shambles just like the majority of the cryptocurrencies led by Bitcoin’s plunge to $40,000. With investors jittery over the future of the crypto market in the coming weeks, the path of least resistance is majorly downwards.

The hype preceding the launch of Bitcoin ETFs in the US increased investor risk appetite with many finding ecosystem tokens like Arbitrum attractive.

This support coupled with a positively structured market, backed ARB to explode from support at $0.75 reaching a new all-time high of $2.4 in January.

Arbitrum price chart | Tradingview

A descending channel characterizes the correction from the ATH. Trading at $1.7 during US business hours on Monday, Arbitrum price struggles to hold above the channel’s lower boundary.

Losing a slightly higher support at $1.75 highlighted by the 200 Exponential Moving Average (EMA) (purple), compelled traders to short ARB while possibly aiming to buy the token again at a lower price point.

Two more moving averages including the 20 EMA (blue) and the 50 EMA (red) reinforce the bearish outlook in ARB. On top of that, a sell signal confirmed by the Moving Average Convergence (MACD) implies that sellers have an upper hand.