Altcoins
Analyst Says Altcoins Are Poised for a “Face Melting Rally” and Outlines What Needs to Happen First
A closely followed crypto strategist believes the altcoin market will go parabolic before the current crypto cycle ends.
Pseudonymous Altcoin Analyst Sherpa tell his 217,600 followers on social media platform X that one of two events will likely have to happen before a massive alternative rally takes off.
“Generally speaking, I think we need to see one of two things before a full altcoin run:
1. Final Surrender: This is usually some sort of final upheaval. See Solana [in chart below] in December 2020.
2. Another potential possibility would be to see some sort of longer consolidation period. See Zilliqa [in the second chart below].
I think one of two things needs to happen before any prolonged, strong altcoin run. Many of these alt/BTC charts also look pretty bad. That said, you have to understand that alts will eventually experience a face-melting rally. I just don’t know when or how it’s going to happen.
Source: Altcoin Sherpa/X Source: Altcoin Sherpa/X
The analyst also believes This historical precedent indicates what the next alt-market rally might look like.
“What do we need to remember?
- Do not hold coins long term in crypto. Few coins outperform BTC and ETH.
- Just because something was hot and intense in the past doesn’t mean it will happen again. For example, GameFi (game financing) may never reach old 2021 highs.
- Stories can repeat themselves. See alternative Layer 1s in mid-2021 versus early 2024. But they will be different flavors. Instead of SOL, LUNA, AVAX, it was SEI, TIA and NEON.
- Better to jump on the hot sector. For example, memecoins in 2024 versus sectors that don’t have money in them yet.
- Ironically, I think DeFi (decentralized finance) will make a resurgence one day, but I don’t know when.
Don’t miss a beat – Subscribe to receive email alerts directly to your inbox
Check Price Action
follow us on X, Facebook And Telegram
Surf The Hodl Daily Blend
 
Disclaimer: Opinions expressed on The Daily Hodl do not constitute investment advice. Investors should conduct due diligence before making high-risk investments in Bitcoin, cryptocurrency or digital assets. Please note that your transfers and transactions are at your own risk and any losses you may incur are your responsibility. The Daily Hodl does not recommend the purchase or sale of cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Image generated: DALLE3