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The 3 Best Ways to Play This Q4 Crypto Rally

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  • Here are the only three cryptos that really matter heading into Q4. 
  • Bitcoin (BTC-USD): Bitcoin continues to hover near $35,000 nearing its recent high.
  • Ethereum (ETH-USD): Traders expect ongoing market bullishness over the medium-term.
  • Avalanche (AVAX-USD): Launched in 2020, Avalanche has actively built its decentralized applications and finance ecosystem.
Q4 Crypto rally - The 3 Best Ways to Play This Q4 Crypto Rally

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Navigating the intricate world of cryptocurrencies can be challenging, given their diverse applications from financial transactions to blockchain-based smart contracts. The first half of 2023 witnessed impressive rebounds for industry giants like Bitcoin and Ethereum. However, this Q4 crypto rally is spelling big things for several cryptos. Despite notable successes, caution remains key, especially amid concerns like the legal issues faced by figures such as Sam Bankman-Fried.

Here are three best cryptos to buy while anticipate a Q4 crypto rally.

Bitcoin (BTC-USD)

Crypto currency bitcoin btc golden bit coin against flag of United States of America USA.
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Bitcoin (BTC-USD) doubled from $16,000 in December 2022 to $37,500, driven by expectations of SEC-approved Bitcoin ETFs and a pause in Federal Reserve interest rate hikes. Despite the surge, Bitcoin is below its $68,000 peak in November 2021. Analysts foresee a $150,000 target by 2025, anticipating ETF approval to direct 10% of the circulating supply. While ambitious, more traders are betting on a near-term $40,000 BTC price.

Bitcoin’s recent surge is driven by expectations of SEC approving the first Bitcoin ETF, attracting significant investments. Concurrently, with the belief that the Federal Reserve won’t raise rates, investors are increasingly drawn to riskier assets, including cryptocurrencies. 

In 2023, Bitcoin surged over 120%, surpassing the S&P 500’s return ninefold. While some view it as a potential long-term investment, JPMorgan analysts argue the recent rally is excessive. They believe upcoming events like spot ETFs and the 2024 halving won’t significantly impact Bitcoin’s price, as investors will likely shift within ETFs, and the halving effect is already factored in. Despite these considerations, Bitcoin remains a prominent choice for long-term investments.

Ethereum (ETH-USD)

A concept shot of the Ethereum Classic (ETC) coin
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Investors are buzzing about Ethereum (ETH-USD) price predictions following BlackRock’s registration of a crypto ETF named iShares Ethereum Trust in Delaware. The world’s largest asset management firm, BlackRock, previously followed a similar pattern with its Bitcoin ETF, filing and launching it shortly thereafter.

Analysts express optimism for Ethereum’s future, with Standard Chartered projecting a five-fold price increase by 2026, citing its expanding role in blockchain smart contracts and gaming. The forecast anticipates Ethereum reaching $8,000 in the next two years, signaling significant long-term potential.

Bulls dominate based on the Money Flow Index (MFI), signaling buyer control. Ethereum’s potential game-changer is trading above $2,000, sparking a awaited bullish run. A drop below support levels may trigger a sell-off to $1,550 unless Ethereum maintains positions above moving averages.

Avalanche (AVAX-USD)

Avalanche (AVAX-USD) crypto coins on a black background
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Avalanche (AVAX-USD) is a high-speed cryptocurrency competing with Ethereum in the smart contract realm. With lightning-fast performance, processing up to 6,500 transactions per second, it employs a unique architecture with three chains (X-Chain, C-Chain, P-Chain) tailored for specific purposes, distinct from Bitcoin and Ethereum’s validation approach.

The token displayed a remarkable performance with a 32% surge in the past week, capturing attention despite a subsequent 7% correction. However, according to TipRanks, the fundamentals of Avalanche seem unchanged, with modest network growth of 0.29% and a notable decrease of 0.55% in large holders.

AVAX has strengthened its position in the crypto space through strategic partnerships, transaction growth, and ongoing innovation. Redefining industry standards with advanced security and unique subnets for public and private blockchains, its collaboration with Amazon’s cloud computing division enhances its reach, even amid market downturns. The successful real-world applications underscore Avalanche’s significant role in the DeFi sector, solidifying its standing with a $5.48 billion market capitalization.

On the date of publication, Chris MacDonald has a LONG position in ETH-USD. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Chris MacDonald’s love for investing led him to pursue an MBA in Finance and take on a number of management roles in corporate finance and venture capital over the past 15 years. His experience as a financial analyst in the past, coupled with his fervor for finding undervalued growth opportunities, contribute to his conservative, long-term investing perspective.


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