Uncertainty in Altcoin Markets: Expert Opinions and Predictions
The volatile nature of cryptocurrency markets continues to show itself. Analysts continue to share their assessments on the subject.
Despite the turbulence in traditional markets, Van de Poppe maintains a positive outlook for Ethereum (ETH). He notes that many altcoins are showing signs of resistance and that numerous double bottom patterns have emerged. A double bottom pattern is a technical analysis formation that usually indicates that a downtrend is nearing its end and a recovery movement may be underway. Based on these technical indicators, Van de Poppe draws attention to potential recovery opportunities in the cryptocurrency market. The analyst uses the following expressions in his assessment of the market:
“There is a lot of volatility in the markets.
– Stock markets are highly volatile.
NEWS CONTINUES BELOW– Macroeconomic data week.
-Monthly closing.
NEWS CONTINUES BELOW– Israel-Gaza tensions are escalating.
– Tomorrow's unemployment rate.
“The primary scenario for ETH is still valid. There are many double bottoms in altcoins.”
The escalating conflict between Israel and Gaza is adding another layer of uncertainty to the markets. Geopolitical tensions often lead to changes in investor sentiment, contributing to market volatility. In particular, the escalation of the conflict between Israel and Gaza has a broad impact not only on local markets but also on global markets. Such uncertainties can cause investors to be more cautious and avoid risky assets. Highly volatile assets such as cryptocurrencies can be more pressured during such periods.
Whales Are Chasing Altcoin Opportunities
In a similar prediction, CryptoQuant founder Ki Young Ju observed that whales are making significant moves in anticipation of the next altcoin season. Whales are known as investors who trade large amounts of assets in the cryptocurrency market and significantly influence market movements. Ju’s prediction is based on the increasing interest in altcoin trading over the past year. An increase in this trend indicates strong demand from whales, while a decrease indicates decreasing interest. Whale movements are generally considered a significant factor influencing the general trend of the market.
Whales are preparing for the next altcoin rally.
Limit buy order volume for altcoins, excluding #Bitcoin and #Ethereumis increasing, indicating that strong buy walls are being set up. pic.twitter.com/aOe3TxwVWE
— Ki Young Ju (@ki_young_ju) July 31, 2024
Some experts believe that the current altcoin market is similar to the market between the end of 2020 and the beginning of 2021, which will lead to a 400% increase in altcoin prices. This similarity makes some investors hopeful for a new altcoin rally.
What Does Benjamin Cowen Say?
But not everyone agrees. Crypto analyst Benjamin Cowen is cautious, saying that Bitcoin’s market dominance could reach 60% by the end of the year. This could negatively impact altcoins.
You can see that #BTC dominance continues to slowly go higher, despite proclamations just about every week for “sub season”
My guess is that dominance does not top until it hits 60% later this year. pic.twitter.com/A8HnvYuqFi
— Benjamin Cowen (@intocryptoverse) August 1, 2024
The analyst also warned that altcoins could lose more value compared to Bitcoin, increasing risks. Cowen noted that a similar situation occurred before the Fed's interest rate cut in 2019 and could happen again.
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