Altcoins
Analyst Says ‘Stop Accumulating Altcoins’
On Crypto Banter’s The Ran Show, the analyst noticed that Bitcoin was at the bottom of its range, testing a support level for the ninth time. He found this worrying because repeated tests can indicate weakness, leading many to fear the end of the bull market. The analyst questioned whether they were still in a bull market or if they were mistaken and also stressed the importance of avoiding altcoins.
Observing the current scenario, he drew attention to the cruel market behavior, which shakes weak hands and makes it difficult even for dedicated investors. Despite the sideways movement for 126 days, he maintained his conviction and urged caution with altcoins until the market turns around.
Should you avoid altcoins?
According to the analyst, It is essential to discuss why people should avoid buying altcoins more often. Speaking about recent market conditions, he observed that many believe the altcoin run has ended due to Bitcoin’s prolonged sideways movement and significant altcoin losses. Despite this sentiment, he pointed out that altcoin runs have historically occurred regularly, noting the recent relative strength of altcoins when Bitcoin fell.
He cited specific examples, including Pendle, which recently saw a sharp drop in its total value locked (TVL) due to pool expiries, not protocol issues. He noted that this drop created a buying opportunity, despite a misreading of the market.
He advised focusing on on-chain data rather than being swayed by Twitter trends. Pointing to a surprising development from FTX, he said they are offering more money than users originally had on the exchange, suggesting a strong belief in the recovery of funds that could inject a lot of money into the market.
The analyst also discussed Bitcoin’s long-term growth, noting that its market cap exceeds that of the world’s largest banks combined and compared it favorably to gold ETF inflows. Reflecting on market sentiment, he mentioned the concept of “hated rallies,” where pessimism often precedes unexpected positive market moves.