Amidst a bearish atmosphere prevailing over the broader cryptocurrency landscape on Monday, the market sentiments were largely influenced by multiple factors. Tensions escalated due to the ongoing geopolitical unrest between Iran and Israel, amplifying concerns among investors. Additionally, the release of robust US economic data further fueled apprehensions, particularly regarding the possibility of the Federal Reserve refraining from implementing interest rate cuts in the near term.
Given the prevailing uncertainties and market jitters, crypto traders shifted their focus towards on-chain micro-cap markets in search of potential gainers. Bitcoin, the leading cryptocurrency, witnessed a retreat in its price, hovering around the $63,000 mark and showing indications of revisiting its recent lows near $61,000 observed over the weekend. Notably, BTC experienced a considerable downturn from its intraday peak of approximately $67,000.
The bearish sentiment extended beyond Bitcoin, affecting other major altcoins like Ether, Solana, XRP, and Toncoin, all of which also saw significant retracements from their session highs.
Amid these market movements, reports indicating Israel’s intention to respond forcefully to Iran’s recent attack further exacerbated the prevailing sentiment of uncertainty and apprehension among investors. The potential escalation of geopolitical tensions added another layer of complexity to an already volatile cryptocurrency market landscape.
❖ ISRAEL REPORTEDLY TO HIT BACK 'CLEARLY AND FORCEFULLY'
The Israeli war cabinet has decided to retaliate "clearly and forcefully" against the missile and drone attack carried out by Iran on Saturday, The Times of Israel reported on Monday citing the local broadcaster Channel…
— *Walter Bloomberg (@DeItaone) April 15, 2024
However, sentiment was already tense following the release of stronger-than-anticipated US retail sales data earlier in the morning. The robust performance of the US economy, coupled with inflationary pressures moving in an unfavorable direction, has diminished the case for imminent Federal Reserve interest rate reductions.
10-year Treasury yields have risen by more than 45bp so far this month. After today's hotter-than-expected retail sales number, traders aren't pricing in a full rate cut until November. pic.twitter.com/xcXcVDT3s2
— Lisa Abramowicz (@lisaabramowicz1) April 15, 2024
Hence, the aggressive upward trajectory of US bond yields and the strengthening of the US dollar pose significant challenges for the cryptocurrency market.
Given the prevailing bearish sentiment in the established cryptocurrency market, it’s unsurprising to witness traders shifting their focus towards on-chain markets.
Irrespective of market conditions, newly introduced meme coins and low-quality cryptocurrencies consistently experience price surges.
Indeed, on-chain markets offer the potential for traders to achieve significant gains, sometimes even exceeding 10x in a single day.
However, it’s crucial to acknowledge the substantial risks associated with on-chain markets. These markets are characterized by high volatility, limited liquidity, and numerous instances of fraudulent activities such as pump-and-dump schemes.
Traders must exercise caution and conduct thorough research before engaging in on-chain market activities, ensuring that they never invest more than they can afford to lose.
With that cautionary note in mind, let’s explore some of today’s top crypto gainers on the Ethereum network that are attracting traders’ attention.
SHIELD (SHIELD)
The newly introduced cryptocurrency, Shield (SHIELD), has experienced a staggering surge of 21,400% in value since its launch just this Monday. According to data from DEXScreener, the token currently boasts a market capitalization of $2.1 million, with liquidity reaching $280,000. Impressively, trading activity for SHIELD has amounted to $420,000 since its inception.
Despite its remarkable performance, it’s important to note several concerning aspects associated with SHIELD’s smart contract, as highlighted by Go+ security. These include features such as a modifiable tax and unrenounced ownership. These factors raise significant red flags and warrant careful consideration from traders. Given these concerns, exercising extreme caution is paramount when considering involvement with this particular cryptocurrency.
InnovateAI (INNO)
InnovateAI (INNO), yet another recently introduced token, has surged by a remarkable 5,400% on Monday alone. Despite this impressive performance, data from DEXScreener reveals that its market capitalization currently stands at approximately $1.1 million, accompanied by a liquidity pool of $253,000.
However, traders should exercise caution when dealing with tokens characterized by low liquidity levels. Such tokens are highly susceptible to price volatility, and even a small volume of sales could potentially trigger a significant price crash. Therefore, it’s crucial for traders to carefully assess the risk associated with investing in such illiquid tokens and consider their risk tolerance before engaging in trading activities.
An Improved Approach for Rapid Profit Generation
Investing in shitcoins might promise quick returns, but it comes with considerable risk. These tokens are not only highly volatile and illiquid but also often associated with scams or pump-and-dump schemes.
An alternative avenue that potentially offers more reliable opportunities for substantial gains in the crypto sphere is through participating in crypto presales.
These presales typically involve up-and-coming projects within the web3 space, which offer their native tokens at a significant discount to early investors as a means to raise funds for development.
The key to success in presale investments lies in identifying projects with strong fundamentals, such as a compelling use-case, a clear vision, and a capable team. If such projects gain traction over time, investors may see substantial returns by selling their presale tokens at a premium.
READ MORE ABOUT: Today’s leading cryptocurrency gainers on DEXScreener –
