Cryptocurrency prices may be on the cusp of a bullish breakout as the U.S. M2 money supply surges to a record high.
The surging money supply has coincided with the recent surge in Bitcoin (BTC), which surged to a record high in May.
Historical data shows that Bitcoin has a close correlation with this supply. Also, as crypto.news wrote recently, Bitcoin has formed a cup-and-handle pattern, pointing to an eventual surge to at least $140,000.
Top blue-chip crypto to buy as M2 money supply rises
This article highlights some of the best crypto to buy as M2 money supply surges. Some of these coins are Solana (SOL), Polkadot (DOT), and Ripple (XRP).
Solana
Solana is one of the top blue-chip altcoins to consider for the next crypto bull market. Its strong fundamentals include transaction volume, fees, active addresses, and staking yield.
Nansen data shows Solana’s transactions jumped by 62% in the last 30 days to over $1.9 billion. Active addresses increased by 15% to 123 million, while fees rose by 29% to $43 million.
In comparison, Ethereum recorded 6.7 million active addresses and 40.3 million transactions over the same period. According to StakingRewards, Solana’s staking yield stands at 7.9%, higher than that of most coins.
Solana is also the foundation for several trending meme coins, which could benefit from renewed interest in the next bull cycle. These fundamentals are likely to support SOL’s long-term growth.
Polkadot
Polkadot is another promising blue-chip crypto with strong long-term prospects. Its staking yield of 11.7% is among the highest in the market.
Polkadot’s fundamentals are also supported by the upcoming launch of elastic scaling, the final phase of Polkadot 2.0. This upgrade has already launched on Kusama, and its rollout on Polkadot is expected soon.
DOT price action also reflects strength. The token has held above the key support level at $3.56 since September 2023. It has formed a triple-bottom pattern, which points to a potential surge to $11.60, an increase of 180% from current levels.
XRP
XRP is another good crypto to buy because of its strong fundamentals. As crypto.news wrote here, these fundamentals point to a 50% surge this month. First, Ripple USD, its stablecoin, is growing and could become a major player in the industry. It won regulatory approval in Dubai on Tuesday.
Second, XRP will benefit from the upcoming ETF approvals, which JPMorgan expects to have $8 billion in inflows in the first year. Third, the XRP Ledger network is expected to grow, especially after the Hidden Road buyout.
Most importantly, Ripple Labs hopes to disrupt Swift, a payment network that handles over $150 trillion a year. The management hopes that the end of the SEC vs Ripple lawsuit will attract more banks to its network.
