The altcoin market continues to show weakness as we enter into the last week of June. Over the last weekend, the overall altcoin market lost over $25 billion with Ethereum (ETH) and other top-ten altcoins losing anywhere between 3-10%. However, analysts predict that this could be the final correction before fresh capital starts flowing into the altcoin market once again.
Capital Rotation Into Altcoin To Begin Soon
Renowned crypto analyst Michael van de Poppe predicts the end of the crypto downtrend for altcoins. In his recent tweet, Poppe stated: “The final downtrend weeks for altcoins are ending. Perhaps from the next week, or the week after, the big capital rotation should start”.
Expressing confidenc in his current positions on altcoin, Poppe expects the risk-ON period to begin soon in the near future. Analyst van de Poppe stated that the altcoin market is nearing its final stage of decline with investors gearing up for a potential bullish rotation.
Furthermore, Poppe added that the alt. market is terrible current since the BTC valuation of several altcoins reach new lows. However, he states that the last time this happened, some of the altcoins rallied as high as 300-500%.
This chart explains it all. The #Altcoin sentiment is terrible currently, as the BTC valuations of all the altcoins are reaching new lows.
The last time this happened:$SOL went +500%$FET went +650%$RNDR went +300%
This time, altcoins are likely to do the same. pic.twitter.com/KYpzPqwDKV
— Michaël van de Poppe (@CryptoMichNL) June 22, 2024
Analyst van de Poope further shared an optimistic outlook for alts going ahead. He noted that the alt market cap is still down by 50% since the all-time high back in 2021 with the recent correction pushing it down further by 30%.
With the correction nearing its end, Poppe expects a potential 100% rally in altcoins that could align with Bitcoin’s trajectory.
Also Read: ETH Price Reversal Soon As Ethereum ETF Coming In Two Weeks
Cracks In the Crypto Market
Lasy week, was the second-worst weekly drop in the crypto market for the year 2024 so far. this has been claerly due to the colling demand for Bitcoin ETFs and the uncertain monetray policy.
As per data compiled by Bloomberg, the top 100 digital assets corrected 5% last week. These cracks in the crypto market appear amid doubt over Fed’s decision to pivot to rate cuts as interest rates are currently near two-decade highs.
Courtesy: Bloomberg
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Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
