Altcoins
Crypto Analyst Predicts Altcoin Boom Amid Economic Downturn: “Altcoin Bull Market Has Started”
Following Disastrous US Economic Data, Crypto Analyst Michael van de Poppe predicted a substantial rally in the altcoin markets.
What happened: On Friday, van de Poppe communicated his optimistic stance on cryptocurrencies to his followers on the social media platform X.
This follows the US labor market failing to meet estimates in April, with unemployment climbing to 3.9% and average hourly wages increasing less than expected. Van de Poppe believes that these economic indicators will force the Federal Reserve to activate the money printers to support the labor market, leading to a rally in risk assets.
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“Terrible economic data -> DXY (US dollar index) falling. Additionally, the case for QE (quantitative easing) and rate cuts will multiply, and therefore risky assets will rally” , did he declare.
The analyst also predicts a period of consolidation for the altcoin market before it rebounds to new all-time highs.
He predicted that the altcoin’s total market capitalization would stabilize between $880 billion and $920 billion before hitting an all-time high.
Van de Poppe also expects a resurgence of retail traders in crypto markets once altcoins see significant gains.
“Retail is not even present in the markets, while Bitcoin is around its all-time highs. When will they come back? It will probably be after this summer, when altcoins start to take off,” he said. -he declares.
Why is this important: The recent downturn in the altcoin market has been attributed to supply and demand dynamics and loss of momentumas reported by a pseudonymous crypto strategist Pentochi.
The frequent launch of new altcoins has diluted demand, requiring around $200 million in new money per day to maintain current prices.
Additionally, the cryptocurrency strategist Sherpa Altcoin recently predicted a 267% rise in the value of Solana SOL/USD by the end of the year. He suggested that purchasing Solana shares at current levels could generate substantial future gains. These forecasts match those of van de Poppe, indicating a potential boom in the altcoin market.
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This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga Publishers.
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