Weekly Preview: Top 5 Cryptos To Watch This Week

Despite the ongoing correction in the crypto market, opportunities abound for investors. In the spotlight this week is Bitcoin, but the world of altcoins is equally brimming with potential.

#1 Bitcoin (BTC) – The King Of Crypto

Bitcoin remains the bellwether of the crypto market, and its price action is once again expected to set the tone for the week. Grayscale’s GBTC ETF, which currently holds 566,973 BTC ($23.21B), is a key focal point. The ETF has seen outflows of approximately 52,227 BTC ($2.14 billion) since it was passed, leading to speculation about when these outflows will end.

Crypto analyst Ignas | DeFi Research pointed out the psychological impact of Grayscale’s continuous selling: “Grayscale’s continuous dumping every working day gave the market trauma. Now, everyone expects another BTC transfer from GBTC to Coinbase and BTC dumped in advance. A massive rebound awaits when that anticipated morning transfer never happens.”

Thus, the spot Bitcoin ETF flows in general (how can the “newborn nine” absorb the GBTC outflows) and the GBTC outflows particular will be key data points, which will determine the price trend this week. At press time, BTC was falling towards the 6-week low at $40,270.

Bitcoin price
BTC price drops below $41,000, 4-hour chart | Source: BTCUSD on TradingView.com

#2 Dogecoin (DOGE)

The creation of the X Payments account on the X platform (formerly Twitter) has ignited speculation about the inclusion of Dogecoin in the project. This speculation led to a 23% surge in DOGE’s price within just 5 hours on Saturday. Although the gains were partially reversed, this incident underscores the importance of following X Payments closely.

X Payments is part of X’s plan to launch its payment service, and the account already boasts over 100,000 followers, including prominent figures in the crypto community. DOGE is a strong contender for inclusion due to Elon Musk’s association with both X and his fondness for the meme coin. Investors are eagerly awaiting any substantial announcements from X Payments, as they could significantly impact DOGE’s price.

#3 Render (RNDR)

The launch of Apple Vision Pro on February 2nd is poised to have a profound impact on the Render (RNDR) network. During the announcement of Apple Vision Pro last year, RNDR experienced a substantial price surge. The distributed computing sector, including RNDR, is expected to benefit significantly from Apple Vision’s launch.

Speculation surrounds a potential partnership between Apple and the crypto company behind RNDR, OTOY. OTOY is closely associated with both the RNDR token and Octane, a product linked to RNDR. The CEO of OTOY, Jules Urbach, has connections to both products, fueling rumors of collaboration.

Apple’s mention of RNDR during its WWDC 2023 event further supports the notion of a possible collaboration.

#4 Chiliz (CHZ)

Chiliz (CHZ) has piqued the interest of investors with the promise of new tokenomics. CEO Alexandre Dreyfus has hinted at a revamped tokenomics model, including a burn system, subsidization of staking rewards, and external consultation. Dreyfus stated, “Farming and earning CHZ on the Chiliz network is coming soon to your screens (and wallets).”

Additionally, the PEPPER airdrop is generating excitement within the CHZ community. This airdrop involves growing CHZ on the Chiliz blockchain to receive daily PEPPER rewards from the greenhouse. Dreyfus has actively engaged with the community on social media, encouraging users to follow @PepperChain for early access to the PEPPER meme airdrop.

#5 Frax Share (FXS)

Frax Share (FXS) is making headlines with the upcoming launch of SfrxETH on EigenLayer, scheduled for January 29th. SfrxETH is the native ETH LSD token of the Frax protocol and has experienced significant growth. Fraxtal, Frax’s Layer-2 blockchain, is also set to launch in the first week of February.

With a TVL of over $1 billion and a market capitalization of $685 million, FXS is set to attract the attention of the crypto community. CEO and founder Sam Kazemian, aims to roll out Fraxtal as a significant addition to its existing product suite. Several projects, including Curve, have proposed deploying their functionalities on Fraxtal, which utilizes rollups technology to execute transactions efficiently.

In a recent interview, he expressed high expectations for Fraxtal’s performance, predicting substantial TVL and market capitalization growth in the coming months. “The current timeline is the first week of February. Etherscan will support it on day 1 with Fraxscan, and a huge slew of projects will debut soon after launch. It will surely be one of the biggest rollup releases of the year,” Kazemian remarked.

He added, “We expect at least a 9-figure total value locked in the first month and $1 billion plus for Q1. That should put us in the top 5 chains soon thereafter if our innovations are well received.”

Featured image from iStock, chart from TradingView.com

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