Altcoins
Is Now the Time to Buy Altcoins? Crypto Researcher Sees These “Top 2 Options”
Viktor, a pseudonymous researcher specializing in decentralized finance, recently shared his thoughts on the outperformance potential of altcoins. Bitcoin BTC/USD in the current market.
What happened: In his latest tweet, the researcher noted that altcoins performed better than Bitcoin during the recent market downturn.
He proposed two possible scenarios: altcoins could suffer a significant decline during the next downward move, or there might not be many sellers left compared to Bitcoin due to the April 12-13 liquidation cascades.
Data from Coinglass indicates that Bitcoin’s long liquidations on April 13 peaked at a multi-month high of $261.1 million. Citing these dumps as evidence, he leans toward the second scenario.
He observed that although Bitcoin was only slightly down from the peak, some altcoins had already fallen by 50%. According to him, this indicates that the risk-reward ratio was in favor of altcoins compared to Bitcoin, especially for those that entered near the $65,000 low of April 13.
Read also: Bitcoin heading for ‘W-shaped reversal,’ says crypto expert, who sees Altseason ‘around the corner’
Why is this important: Viktor also drew parallels to the market falls in May and June 2022, where altcoins were badly hit during the Luna collapse in May, but then outperformed Bitcoin for almost three months after the 3AC/ collapse. Celsius in June.
“Also, June 2022 would have been the lowest without FTX,” he notes.
Although the overall health of the market depends on Bitcoin’s performance, Viktor sees the current $57,000 zone as a potential bottom for the crypto king, given the likelihood of investors leading the 52,000 support level $.
In other Tweeter, on May 2, VIKTOR notes the largest volume of coins on Bybit perpetual. While the top three are Bitcoin, Ethereum ETH/USD, and Solana SOL/USD, the list is followed by Pepe PEPE/USD, Dogecoin DOGE/USD, and dog hat WIF/USD, reporting the largest increases of 14%, 4%, and 15%, respectively.
And after: The influence of Bitcoin as an institutional asset class should be explored in depth in the next The future of digital assets event on November 19.
Read next: Is the fall of Bitcoin over? Top Crypto Analyst Says “Altcoins Will Take Over Until…”
This content was partially produced using AI tools and was reviewed and published by Benzinga editors.
Image: Pixabay