Altcoins
Why Altcoins are the best investment right now
Michaël van de Poppe, popular crypto analyst keep on going support altcoins to achieve spectacular bullish performance in the coming months. In a new postThe veteran analyst digs deeper, explaining the reasons behind his advocacy for investing in altcoins ahead of a highly anticipated crypto bull run.
Investing in Altcoins is Best, Analyst Explains Why
In his latest bullish forecast on altcoins, van de Poppe begins by stating that these tokens may not be the most ideal investment, especially since their combined value has fallen 70% against Bitcoin over the past year. of the last three months.
The analyst attributed this poor performance to several factors, including a delay in network updates and a prolonged bear market. Furthermore, van de Poppe also highlights Ethereum’s current difficulties in significantly contributing to this market downturn.
He explains that, generally, the bullish hype of cryptocurrencies shifts from Bitcoin to Ethereum, followed by large market cap tokens, then mid-cap tokens and small cap tokens.
However, this cycle appears to be experiencing some delay due to a bearish cloud on Ethereum, driven by uncertainty over the approval of a proposed spot exchange-traded fund (ETF) as well as its asset class. assets.
Nonetheless, van de Poppe believes that this delay is quite temporary, as he posits that market traders are currently pricing in any potential negative effects resulting from the rejection of an Ethereum Spot ETF or the top altcoin’s classification as a security.
Once Ethereum embarks on an upward trajectory, van de Poppe predicts that other altcoins will follow suit. The analyst predicts that some tokens could see a 1,000% gain, as seen between October 2023 and February 2024, amid the hype around Bitcoin spot ETFs.
However, the analyst urges investors to buy into the altcoin market now, during the “lowest confidence” period. He estimates that such an act is equivalent to investing in Bitcoin at $3,700 in early 2020, ensuring investors generate maximum profits during the next bull run.
Ethereum ETF approval in the balance
As the weeks pass, the approval of an Ethereum spot ETF by the United States Securities and Exchange Commission (SEC) appears very uncertain.
This sentiment is driven by the Commission’s ongoing deliberations on whether to classify Ethereum as a security as well as the lack of dialogue between the agency and potential issuers. The next deadlines are May 23 and 24, during which time the SEC will respond to two ETF applications, with many analysts expecting further delays from the Commission.
At the time of writing, Ethereum is trading at around $3,123.39, reflecting a 0.53% increase over the past day.
Featured image from Business Insider, chart from Tradingview