Note the correction and stability of the altcoin market Flash news details

According to a tweet by Michael van de Poppe dated January 8, 2025, the altcoin market has seen a noticeable correction, however prices have stabilized back to levels observed a few weeks ago. This indicates a short-term decline in the market without major shifts in the long term. The correction was marked by declines in the prices of several major altcoins, including Ethereum and Cardano, which saw declines of around 5% and 4% respectively over the past 48 hours. However, according to the latest data, these altcoins have rebounded near their December 2024 price points, indicating a potential consolidation phase.

The implications of this correction are crucial for traders who may be considering short-term trades. Stability in altcoin prices after the correction indicates that the market may be entering a period of consolidation, providing opportunities for traders to evaluate potential entry points. Trading volume for altcoins such as Solana and Binance Coin showed moderate increases, suggesting that despite price correction, investor interest remains steady. Specifically, Solana’s trading volume has increased by 12% in the past 24 hours, indicating a potential accumulation phase by traders anticipating future moves.

Technical indicators provide further insights into current market conditions. The Relative Strength Index (RSI) for major altcoins like Ethereum and Binance Coin is hovering around the neutral 50 mark, indicating no overbought or oversold conditions. This neutrality in the RSI supports the idea of ​​a consolidation phase. Additionally, on-chain metrics reveal a fixed number of active addresses for these altcoins, with Ethereum maintaining approximately 650,000 active addresses daily. This consistency in activity across the chain supports market stability despite recent price corrections. In general, traders should monitor these technical and volume indicators closely because they may indicate upcoming volatility, Van de Poppe suggested.