Benzinga - by Khyathi Dalal, Benzinga Staff Writer.
Crypto analyst Michaёl van de Poppe shared his experience of going all-in on altcoins a month ago, only to see them crash shortly after.
What Happened: Van de Poppe invested heavily in altcoins, anticipating a market upswing. He shared, "This is the time that you'd want to risk more." Unfortunately, the markets corrected further than expected, leaving him and likely many others down on their investments. Despite the downturn, Van de Poppe remains undeterred and sees parallels with past market cycles.
Reflecting on his experience from the previous cycle in August 2020, Van de Poppe noted that he had similarly gone all-in on altcoins like Verasity (CRYPTO: VRA), Polygon (CRYPTO: MATIC) and Fantom (CRYPTO: FTM), only to see them initially drop by over 50%. However, these coins later surged dramatically, some by more than 200x.
An example he pointed out was Solana (CRYPTO: SOL), which saw an initial correction of almost 90% in 2020 before surging by over 600%. Van de Poppe draws a hopeful comparison to the current market sentiment, suggesting that the difficult first half of 2024 might lead to a strong upward return in the second half of the year.
Also Read: Top Crypto Analyst Sees Ethereum, Altcoin Reversal Coming: ‘Back Up In The Next Few Weeks’
Why It Matters: Van de Poppe argues that the current market sentiment is turning pessimistic, but he believes a reversal is imminent. He sees the potential approval of the Ethereum (CRYPTO: ETH) ETF as a major catalyst for market momentum, likening it to a “Sell the rumor, buy the news” scenario.
He posits that this landmark event could shift significant investor interest and funds from Bitcoin (CRYPTO: BTC) to Ethereum, spurring a broader alt-season.
Looking back at historical patterns, he mentions, "Once Bitcoin broke its all-time high, that's when the altcoins started to wake up extensively," implying that we might be nearing a similar shift.
What’s Next: Van de Poppe outlined the importance of staying invested and positioned for the upcoming bull run in altcoins, stating, "I know the rodeo from the past cycle, and I wouldn't be surprised that this reverses upwards in the coming months."
To be a part of more discussions on the upcoming trajectory and the influence of Bitcoin as an institutional asset class, make sure to be at Benzinga’s upcoming Future of Digital Assets event on Nov. 19.
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This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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