{"id":603725,"date":"2024-04-17T21:00:54","date_gmt":"2024-04-17T21:00:54","guid":{"rendered":"https:\/\/ktsl888.com\/?p=603725"},"modified":"2024-04-17T15:28:38","modified_gmt":"2024-04-17T15:28:38","slug":"are-altcoins-cooling-off-analyst-weighs-in-on-this-cycles-market","status":"publish","type":"post","link":"https:\/\/ktsl888.com\/news\/are-altcoins-cooling-off-analyst-weighs-in-on-this-cycles-market\/","title":{"rendered":"Are Altcoins Cooling Off? Analyst Weighs In On This Cycle\u2019s Market"},"content":{"rendered":"
Many investors expressed worries about the crypto market corrections during this cycle. Bitcoin\u2019s price drop has dragged altcoins with them, and, as a result, a more pessimistic sentiment has started to brew among some sectors of the crypto community.<\/p>\n
Analysts and traders have reassured investors that the market fluctuations are a normal part of the journey. Some urge the community to look at the bigger picture, as altcoins remain above levels not seen in years.<\/p>\n
Renowned crypto analyst Altcoin Sherpa weighed in on the matter, exploring some of the reasons and differences that make this bull cycle different from the 2020s.<\/p>\n
In an X post, Altcoin Sherpa asserted<\/a> that there\u2019s a high possibility \u201cthat altcoins are done for the next 1-4 months.\u201d The analyst considers that, right now, most of the market needs \u201ctime to chill out and consolidate after such a big run.\u201d<\/p>\n Despite recently falling below the $1 trillion market capitalization, altcoins have performed remarkably in the last few months. In 2024, cryptocurrencies\u2019 market cap, excluding Bitcoin\u2019s, has increased by 22.79%, according to TradingView data.<\/p>\n Altcoins market cap has also considerably surged in longer timeframes, with a 91.31% and 52.46% jump in the last six months and the past year. This \u201cbig run,\u201d as Sherpa called it, sits the cryptocurrency market at levels like those seen in 2022.<\/p>\n However, what worries the crypto analyst is, despite the overall performance, \u201cmany alts didn\u2019t even run that hard over the last few months.\u201d He illustrated his point with Chainlink\u2019s<\/a> native token, LINK.<\/p>\n Despite the +500 days of accumulation, LINK investors only got 3-4x gains depending on when they go in. Now, the token\u2019s price is \u201cstrongly pulling back.\u201d Expectations for altcoins during this cycle seemingly play a significant role in the current sentiment.<\/p>\n As one X user pointed out<\/a>, LINK was anticipated to be one of the biggest winners of this cycle, Sherpa replied that he \u201cexpected more lol.\u201d The user playfully commented, \u201cNo dino coins and new and shiny coins are the better bet.\u201d<\/p>\n The previous comment highlights what appears to be a significant difference between this bull run and the 2020s. Choosing your bag has become more difficult since the market has expanded significantly.<\/p>\n Sherpa considers that \u201cnow more than ever, it is super important to choose the altcoins that are going to run hard.\u201d In 2020, the massive altseason made \u201ceverything go up consecutively.\u201d<\/p>\n This time, the liquidity is more fragmented, and \u201conly a few sectors are pumping.\u201d The AI and memes sectors<\/a> have been the hottest topic in 2024, and layer-1 (L1) tokens, like SEI, have also performed well. \u201cEverything else? Not great,\u201d remarked Sherpa.<\/p>\n The massive number of tokens, both newly launched and old ones, are finding it more difficult to \u201ccapture mindshare\/attention.\u201d<\/p>\n Regarding retail investors, the analyst is not surprised that the default choice is memecoins<\/a> instead of \u201ctrying to learn about some DeFi veRewards type of stuff. Or Oracle or L1s or modular or anything else.\u201d<\/p>\n The analyst suggested investors \u201cmove to real value\u201d like ETH and SOL. He also considers that big token launches, with significant money behind them, \u201chave some real value.\u201d These coins, as stated in the post, have the potential to \u201cdo very well\u201d once Bitcoin stabilizes.<\/p>\n Sherpa\u2019s market analysis closes with a \u201cpretty bearish\u201d outlook for the following months. The growing difficulty in keeping user attention and \u201cfor people to become strong users\/community members\u201d for many projects has made the market a different playground.<\/p>\n Ultimately, the analyst pointed out that \u201cportfolio rebalances are necessary\u201d and said<\/a>\u00a0he still believes this run is not over.<\/p>\n <\/p>\n Many investors expressed worries about the crypto market corrections during this cycle. Bitcoin\u2019s price drop has dragged altcoins with them, and, as a result, a more pessimistic sentiment has started to brew among some sectors of the crypto community. Analysts and traders have reassured investors that the market fluctuations are a normal part of the journey. Some urge the community to look at the bigger picture, as altcoins remain above levels not seen in years. Related Reading: Traders Forecast Massive Rally For Altcoins, But Why Is Sentiment \u201cDown\u201d? Renowned crypto analyst Altcoin Sherpa weighed in on the matter, exploring some of the reasons and differences that make this bull cycle different from the 2020s. Time For An Altcoins Cool-Off? In an X post, Altcoin Sherpa asserted that there\u2019s a high possibility \u201cthat altcoins are done for the next 1-4 months.\u201d The analyst considers that, right now, most of the market needs \u201ctime to chill out and consolidate after such a big run.\u201d Despite recently falling below the $1 trillion market capitalization, altcoins have performed remarkably in the last few months. In 2024, cryptocurrencies\u2019 market cap, excluding Bitcoin\u2019s, has increased by 22.79%, according to TradingView data. Altcoins market cap has also considerably surged in longer timeframes, with a 91.31% and 52.46% jump in the last six months and the past year. This \u201cbig run,\u201d as Sherpa called it, sits the cryptocurrency market at levels like those seen in 2022. However, what worries the crypto analyst is, despite the overall performance, \u201cmany alts didn\u2019t even run that hard over the last few months.\u201d He illustrated his point with Chainlink\u2019s native token, LINK. Despite the +500 days of accumulation, LINK investors only got 3-4x gains depending on when they go in. Now, the token\u2019s price is \u201cstrongly pulling back.\u201d Expectations for altcoins during this cycle seemingly play a significant role in the current sentiment. As one X user pointed out, LINK was anticipated to be one of the biggest winners of this cycle, Sherpa replied that he \u201cexpected more lol.\u201d The user playfully commented, \u201cNo dino coins and new and shiny coins are the better bet.\u201d How Did The Market Change? The previous comment highlights what appears to be a significant difference between this bull run and the 2020s. Choosing your bag has become more difficult since the market has expanded significantly. Sherpa considers that \u201cnow more than ever, it is super important to choose the altcoins that are going to run hard.\u201d In 2020, the massive altseason made \u201ceverything go up consecutively.\u201d This time, the liquidity is more fragmented, and \u201conly a few sectors are pumping.\u201d The AI and memes sectors have been the hottest topic in 2024, and layer-1 (L1) tokens, like SEI, have also performed well. \u201cEverything else? Not great,\u201d remarked Sherpa. The massive number of tokens, both newly launched and old ones, are finding it more difficult to \u201ccapture mindshare\/attention.\u201d Regarding retail investors, the analyst is not surprised that the default choice is memecoins instead of \u201ctrying to learn about some DeFi veRewards type of stuff. Or Oracle or L1s or modular or anything else.\u201d The analyst suggested investors \u201cmove to real value\u201d like ETH and SOL. He also considers that big token launches, with significant money behind them, \u201chave some real value.\u201d These coins, as stated in the post, have the potential to \u201cdo very well\u201d once Bitcoin stabilizes. Sherpa\u2019s market analysis closes with a \u201cpretty bearish\u201d outlook for the following months. The growing difficulty in keeping user attention and \u201cfor people to become strong users\/community members\u201d for many projects has made the market a different playground. Ultimately, the analyst pointed out that \u201cportfolio rebalances are necessary\u201d and said\u00a0he still believes this run is not over. Related Reading: Crypto Analyst Says Don\u2019t Buy Altcoins Just Yet \u2013 Here\u2019s Why Altcoins market cap sitting at $981 billion in the weekly chart. Source: TOTAL2 on TradingView Featured Image from Unsplash.com, Chart from TradingView.com<\/p>\n","protected":false},"author":614,"featured_media":590942,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3],"tags":[91121,136,34800,142,26263,8323,12837],"class_list":["post-603725","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-altcoin-bearish","tag-altcoin-market","tag-altcoin-market-cap","tag-altcoins","tag-crypto-analyst","tag-eth","tag-sol"],"acf":[],"yoast_head":"\nHow Did The Market Change?<\/h3>\n
Altcoins market cap sitting at $981 billion in the weekly chart. Source: TOTAL2 on TradingView<\/a><\/pre>\n