Kaspa (KAS) continues to generate interest among crypto traders and investors, with many questioning whether its price has reached its peak. A tweet by @mikroweller highlighted growing concerns that the current market structure might resemble a Wyckoff Distribution pattern.
However, despite the concerns, both fundamental and technical factors suggest that Kaspa’s price may still have room for growth.
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Fundamental Catalysts for Kaspa’s Growth
According to @mikroweller, one of the key factors that could drive Kaspa’s future price appreciation is its lack of Tier 1 (T1) exchange listings. Kaspa remains one of the few top-ranking cryptocurrencies not listed on major exchanges such as Binance or Coinbase.
The absence of these listings has limited liquidity and volume, but when the anticipated listings occur, it could unlock substantial upside potential. Furthermore, the upcoming “10 BPS” hard fork scheduled for early 2025 is another catalyst.
This technical upgrade is expected to bring improvements to Kaspa’s network and could align with favorable market conditions, potentially driving price appreciation.
The Kaspa Industrial Initiative (KII) is also poised to bring real-world adoption by integrating Kaspa into industries like banking, insurance, and energy trading, further boosting its long-term prospects.
Technical Indicators Support Bullish Outlook
On the technical side, several indicators suggest that Kaspa is still in an accumulation phase, not a distribution. Data from the Kasmedia Market Dashboard highlights growing capital inflows, with the 30-day Realized Price Change increasing by 5.81%.
This trend signals that more capital is entering the market, laying the groundwork for future bullish movements. Additionally, the 90-day Coin Days Destroyed (CDD-90) has decreased, indicating that long-term holders are refraining from selling their coins.
Such behavior typically points to accumulation, which could reduce selling pressure and set the stage for price increases when demand rises.
Long-Term Holders Show Confidence
Various on-chain metrics also show confidence from long-term holders. Indicators like the Reserve Risk and the Long-Term Holder (LTH) to Short-Term Holder (STH) Cost Basis Ratio reflect strong support from those holding KAS for extended periods.
The Net Unrealized Profit/Loss (NUPL) stands at the 12.20 percentile. This suggests that Kaspa is still undervalued, which could lead to upward movement in the future.
Despite short-term bearish trends shown by the 50 and 100-day moving averages, longer-term indicators such as the 200-day moving average and 100-week moving average reflect strong support and growth potential.
Read also: Best Altcoins to Buy on The Dip – Which Cryptos Will Skyrocket in October?
A Balanced Market Sentiment
While the tweet by @mikroweller highlighted the possibility of a Wyckoff Distribution pattern, there is no confirmation of such a distribution yet. Market sentiment remains balanced, with both fundamental and technical data pointing to potential future growth.
The presence of bullish indicators and growing confidence from long-term holders suggests that Kaspa may not have topped yet. For now, traders are advised to monitor both Bitcoin’s price action and Kaspa’s ongoing developments. Should Bitcoin break out of its current range, Kaspa could follow suit, potentially leading to further price increases.
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