The crypto market may receive a potential catalyst if the US sinks into a recession later this year as some analysts predict. This recession will be driven by the ongoing cuts by Elon Musk and his DOGE team. Also, the ongoing Trump tariffs will contribute to a recession. Let’s explore some of the best crypto coins or altcoins to buy ahead of a US recession.
Is it safe to buy crypto coins during a recession
A recession is one of the worst periods in an economy as it is usually characterized by slow growth and high unemployment. In theory, a recession should be a bad thing for financial assets.
However, in practice, it is one of the best situations for them since the Federal Reserve often intervenes by cutting interest rates and implementing quantitative easing (QE).
History shows that assets like stocks and crypto dip initially and then bounce back after the Fed’s interventions. Some of the best crypto to buy during a recession are Jasmy, Sei, and Pepe.
JasmyCoin (JASMY)
Jasmy, often seen as Japan’s Bitcoin, is one of the best crypto coins to buy the dip if the recession happens.
It is one of the most popular cryptocurrencies, and this week, it became compatible with Ethereum and Base by integrating with Chainlink’s CCIP.
Jasmy has strong technicals that may help it to rebound in the coming months. While it has crashed below the key support at $0.0154, it has formed a falling wedge pattern on the daily chart.
This pattern, which is characterized by two descending trendlines, is one of the most bullish signs in the market. Jasmy has also moved into the oversold level.
Therefore, the JASMY price will likely bounce back as investors buy the dip. The initial target will be at $0.022, the lowest swing in August last year, which is about 70% above the current level. A move to its 2024 high at $0.0595 will be a 360% surge from the current level.
Read more: Jasmy price analysis as crypto pro sees a 1000% jump
Pepe (PEPE)
Pepe, the third-biggest meme coin, is another top crypto coin to buy ahead of the next recession.
The main reason for buying it is that it has formed a double-bottom pattern at $0.00005863, whose neckline is at $0.00002835.
Pepe price has also formed a falling wedge pattern, with two lines converging at the double-bottom level. That is a sign that the coin may be on the verge of a strong bullish breakout in the coming days. If this happens, the next key resistance level to watch will be at $0.00001720, its highest swing on May 27 last year. This price is about 150% from the current level.
Sei (SEI)
Sei price has been in a strong downward trend even as its ecosystem has done well. Its total value locked (TVL) has continued rising, with it rising by over 87% in the last 30 days to over $332 million.
Sei price has formed a double-bottom pattern at $0.2012, whose neckline at $0.7375. That is a sign that the coin will bounce back in the coming months. A move to the neckline at $0.7375 signals a 265% jump from the current level. Also, moving to its 2024 high of $1.1442 would signal a 470% increase from the current level.
Other top altcoins to buy ahead of a recession
There are many other altcoins to buy ahead of the coming recession and FOMC decision. Some of the most notable ones are Polkadot (DOT), Hedera Hashgraph (HBAR), and Chainlink (LINK).
The post Best cheap crypto coins to buy ahead of a recession, FOMC decision appeared first on Invezz