Analyst and trader Austin Arnold is shining a spotlight on several altcoin projects he anticipates will outperform the rest of the crypto market in 2021.
Arnold, who heads the YouTube channel Altcoin Daily, tells his 472,000 subscribers that seven crypto assets are set to moon this year, as altcoin mania appears to be sustaining itself and, his number one pick, Ethereum (ETH) breaches $1,900.
As for why the smart contract platform is his number one pick, Arnold points out that the amount of Ethereum currently held on exchanges is at a 16 month low, a bullish signal. Additionally, Coinbase users can now earn Ethereum 2.0 staking rewards on the exchange, receiving 7.5% APY.
Arnold also believes the rise of non-fungible tokens and their propensity to live on top of the Ethereum platform is bullish for the asset.
“Be prepared for ebbs and flows in the market… euphoric pumps and soul crushing dips but in this case i’d say NFTs are gearing up for a big bull run I’d say… could this be the start of an NFT bull run ? of course… could this be the start of an Ethereum bull run?”
Next up on the trader’s list is indexing protocol The Graph (GRT). Although GRT has seen a massive run up this year, capturing nearly a $3 billion market cap, the trader believes that the project has room left to run this year.
Not only is the project exploring integration with eight new layer 1 blockchains, reports Arnold, but he also believes that the chart shows the GRT token is currently in a bullish consolidation period possibly providing a good entry price.
The third coin Arnold is bullish on is Ethereum competitor Polkadot (DOT). The project just launched its detailed roadmap, bringing more attention to the smart contract platform as it continues to reach new highs. This week, DOT hit an all-time high of $32.58.
Decentralized exchanges (DEX) Pancake Swap’s and Uniswap’s respective CAKE and UNI tokens are the fourth and fifth coins on Arnold’s list.
“How could you not be bullish on decentralized exchanges? PancakeSwap traded over $400 million in daily volume yesterday. It briefly became the world’s second largest DEX…
‘Uniswap reaches $100 billion in cumulative volume amid DeFi explosion,’ so Uniswap, despite the high Ethereum fees, continues to see people flock to it…
Ultimately, we’ll have to see which decentralized exchanges win in the end. Anything could happen – we’re in the wild wild west of this stuff. Most of these cryptos, they don’t have a price history and we have no idea how big they can get in the future… or we don’t know if they could go to zero.”
Sixth on Arnold’s list is decentralized storage data network Filecoin (FIL), which pays computers around the world to store data. Arnold says the coin has an important use case – decentralizing data and, in turn, helping keep data safe.
Lastly, Arnold says Celsius (CEL) is a project that many of his subscribers say they use and are fans of the platform. The crypto lender just paid out $250 million in rewards, says the trader, showcasing the popularity of decentralized lending platforms.
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/MAX BLENDER 3D