Altcoins
Top Undervalued Altcoins with Huge Recovery Potential
The host/analyst of “The House of Cryptography” watched his latest video and explained how markets are structured to encourage retail investors to make bad decisions. Typically, after a bear market, the market enters a depression phase where investors think it’s all over. Then, hope and enthusiasm resurface, as we saw at the end of last year and the beginning of this year. However, a phase of upheaval often follows, causing many people to lose hope again. It is just after this upheaval that the greatest opportunities present themselves.
He emphasizes that one should not buy coins that have already increased a lot. Instead, he advised focusing on those that are currently undervalued and have good long-term potential. For example, coins like Avalanche, Fetch ai, and Akash Network, which have declined significantly, now present good buying opportunities.
He warned against seeking quick riches by investing in trendy pieces like Brett and Jasmy, who are already in a high-risk, high-reward phase. Instead, he advised looking for coins that have fallen out of favor and are now in recession, as they often present better buying opportunities.
Potential Buy Zones, Patterns and Pullbacks
As an example, he talked about Beam and how it saw a significant 58% decline since its peak around March 11, coinciding with Bitcoin first summit of the year. This decline provides a potentially attractive entry point for those looking to capitalize on future uptrends.
He spoke about market volatility, pointing out that coins like Python Network had seen huge hype, with a 19-fold increase in value followed by a steep 71% drop. Despite initial enthusiasm, interest waned as the price fell sharply.
To identify potential buying zones for these coins, he recommended looking for significant price pullbacks where previous large green candles have occurred. These areas often indicate strong support levels where buying interest could return. For example, Pyth fell into one of these buy zones after its drastic fall.
He once again warned against chasing the latest fashionable pieces that everyone is talking about, as they often carry higher risks and inflated prices. Instead, he advised focusing on projects that have been neglected or fallen out of favor despite their potential, such as those in the AI and gaming sectors.
Read also: Bitcoin Price Prediction: How Much Could BTC Price Drop During This Crypto Market Crash