Altcoins
Post-halving crisis paves way for Altcoin rise?
As Bitcoin embarked on its post-halving adventureThe cryptocurrency market has witnessed a fascinating story of ups and downs, leaving analysts pondering its next move.
Initially rising to $64,000 on the day of the halving, Bitcoin briefly flirted with $67,000 before gradually moving lower, eventually slipping below. $57,000 before May 1st. Currently at $57,362, down 7% over 24 hours and down a significant 17% over the past month, Bitcoin’s journey appears to be marked by a volatile consolidation phase in the near future.
What awaits the king? Let’s find out.
Bitfinex Overviews
In a recent report, Bitfinex Analysts predicted that Bitcoin would oscillate in a price range, oscillating $10,000 on either side. They attributed this trend to a growing appetite for risk among investors, particularly in alternative cryptocurrencies after the halving. They believe that the full impact of Bitcoin’s reduced supply on its price could be felt in the coming months, especially as economic conditions show signs of improvement.
Altcoins on the rise?
Contrary to traditional views, some analysts advocate directing investments towards altcoins, arguing that they offer more promising returns in the current climate.
It’s Bitcoin versus Altcoins now…!
A closer look at technical analysis reveals the decline of Bitcoin’s dominance in the market, with attention gradually shifting to altcoins, notably Ether (ETH), which has consistently outperformed Bitcoin in terms of gains. This trend toward alternative cryptocurrencies mirrors previous post-Bitcoin halving trends, as reduced supply growth attracts investors to potentially higher-yielding opportunities.
What is behind the BTC consolidation?
Additionally, on-chain analysis suggests a gradual “deleveraging” of Bitcoin futures since the all-time highs of mid-March, thus contributing to Bitcoin’s consolidation phase. The recent decline in Bitcoin price, observed by Greenspan, was somewhat expected given the slowdown in the stock market and the overall economic situation. Some analysts had predicted this drop after Bitcoin’s fourth halving, with JPMorgan forecasting a potential drop to $42,000 in March 2024.
However, Markus Thielen, CEO of 10x Research, suggested that Bitcoin could fall to $52,000, citing slowing fund flows. Bitcoin Exchange Traded Funds (ETF) as the main reason for the slowdown in the recent rally.
Also discover: Has Bitcoin hit rock bottom? Analyst Says ‘Buy the Dip’ as Rally Looms
Do you adjust your cryptocurrency investment strategy based on these predictions?