Altcoin
Why Altcoins are the best investment for now
Popular crypto analyst Michaël van de Poppe continues support altcoins to deliver a spectacular bullish performance in the coming months. In a new X post on Saturdaythe veteran analyst delves deeper into the reasons behind his support for altcoin investments ahead of a highly anticipated cryptocurrency bull run.
Investing in Altcoins is the best solution: an analyst explains why
In his most recent bullish altcoin prediction, van de Poppe begins by stating that these tokens may not present themselves as the ideal investment, especially considering that their combined value has fallen by 70% compared to Bitcoin over the past three months.
The analyst attributed this poor performance to several factors, including a delay in network upgrades and a prolonged bear market. Furthermore, van de Poppe also highlights Ethereum’s current difficulties to significantly contribute to this market downturn.
He explains that typically bullish crypto hype moves from Bitcoin to Ethereum, followed by large market cap tokens, then mid cap tokens, and small cap tokens.
However, this cycle appears to be somewhat delayed due to a bearish cloud over Ethereum, driven by uncertainty over the approval of a proposed spot exchange traded fund (ETF) and its asset class.
However, van de Poppe believes this delay is entirely temporary as he postulates that market participants are currently pricing in any potential negative effects of rejecting an Ethereum Spot ETF or classifying the major altcoin as a security.
Once Ethereum embarks on a bullish path, van de Poppe predicts other altcoins will follow suit. The analyst predicts that some tokens could see a 1000% gain as seen between October 2023 and February 2024, amid the hype around spot Bitcoin ETFs.
However, the analyst urges investors to buy into the altcoin market now, during the “lower confidence” period. He believes that such an act is similar to investing in Bitcoin at $3,700 in early 2020, thus ensuring investors generate maximum profits in the next bull run.
Ethereum ETF approval in the balance
As the weeks pass, the approval of a spot ETF on Ethereum by the United States Securities and Exchange Commission (SEC) appears highly uncertain.
This sentiment is driven by the Commission’s ongoing decision on whether to classify Ethereum as a security, as well as the lack of dialogue between the agency and potential issuers. The next expiration dates are May 23/24, during which time the SEC will respond to 2 ETF requests and many analysts expect further delays from the Commission.
At the time of writing, Ethereum is trading at around $3,123.39, reflecting an increase of 0.53% over the past day.
Featured image by Business Insider, chart by Tradingview