Top RWA Altcoins to Consider for Gains This October 2024

As activity in the altcoin market escalates, tokenized real-world assets (RWA) deserve your focus as a trader.

This analysis highlights several RWA-oriented altcoins that may present investment opportunities in October for those looking to diversify their portfolios.

Pendle (PENDLE)

PENDLE, the utility token associated with the Pendle protocol, has experienced a significant value increase, soaring 27% in just one week, and is a standout RWA altcoin to monitor this October. Currently priced at $4.34, PENDLE has exhibited a robust upward trend, consistently trading above an ascending trend line lately.

This trend line signifies ongoing market demand and upward movement. Should PENDLE continue to trade above this line, its primary target in the upcoming weeks will be the critical resistance level at $6.31. Conversely, if selling pressure mounts, the price could fall below the trend line, possibly hitting $3.16.

Read more: Real World Asset (RWA) Backed Tokens Explained

Additionally, it is crucial to keep an eye on the upcoming token unlocks. The Pendle Protocol is scheduled to execute a new token unlock starting October 2, with 31,210 PENDLE tokens set to be unlocked each day for seven days.

Although this gradual release is not substantial enough to trigger a drastic price decline, it will increase the circulating supply, potentially applying slight downward pressure to the token’s value.

AVAX, the fundamental token of the Layer-1 blockchain Avalanche, has observed an 8% increase in value over the past week, trading at $27.94 as of now. Its daily chart reveals that AVAX is approaching a notable resistance level of $28.66, which has persisted since July.

The increasing Balance of Power (BoP)—an indicator assessing buyers against sellers—implies that a breakout above this level could be imminent. As of now, AVAX’s BoP is at 0.64, indicating that buyers hold an upper hand in the market. If this buying pressure is sustained, AVAX could potentially surge towards $55.07, a significant price target.

However, if the breakout above the $28.66 resistance fails, the price may retreat to $17.33 as weaker buying momentum could push AVAX back to lower support levels.

With its VET token, VeChain has established itself as a frontrunner in real-world enterprise applications. The recent uptick in the token price positions it as an essential RWA asset to monitor. Currently trading at $0.02, VET has increased by 14% over the past week, showcasing its potential for further appreciation.

According to its daily chart, VET has recently surpassed a descending triangle, a bullish pattern indicating an upward shift. If the token manages to retest the breakout line successfully, it will confirm the continuation of the upward trend, making VET potentially capable of reaching $0.04 in the weeks ahead.

However, if the retest of the breakout line fails, VeChain’s VET token may lose momentum and fall below the support line of the descending triangle, potentially landing at $0.01.

Ondo (ONDO)

ONDO is currently valued at $0.78, marking a 24% increase over the week. The growing demand for this altcoin is evident in the rising Relative Strength Index (RSI), which gauges market conditions to determine whether an asset is overbought or undersold. Currently, ONDO’s RSI is at 66.87, signaling robust buying activity and potential for an extended increase.

If the upward momentum persists, ONDO’s price could reach $0.87 in the near term. Continued momentum could drive the price up to $1.09 if the rally continues. However, should selling pressure rise, ONDO could potentially decline toward $0.50.

Moreover, in addition to the broader market sentiment, Chainlink’s (LINK) recent 10% price growth can be attributed to increased user activity on the network. On-chain analytics indicate a 13% rise in unique active addresses trading LINK over the last week.

There has also been a surge in demand for the altcoin, with the creation of new addresses for LINK trading rising by 29% during the same timeframe. If this demand remains robust, LINK could further its gains, targeting $15.47.

Read more: How To Invest in Real-World Crypto Assets (RWA)?

However, if the accumulation of LINK slows down, a pullback to $11.24 could be anticipated. Traders are advised to monitor for indications of sustained demand or potential dips in accumulation activity.