A much-followed strategist and trader warns about altcoins during a crypto market rally led by Bitcoin (BTC).
Pseudonymous analyst Credible Crypto tells are 341,000 Twitter followers that while altcoins will rise in the short term, they are likely to massively underperform BTC once the flagship digital asset begins an impulsive rally.
“I know it is tempting to jump into altcoins now thinking they will overtake BTC. In the short term, they will probably see some nice bounces, but these should only be short term trades in my opinion.
I’ve been in this space for almost six years now and I’ve seen it over and over again. Every time BTC starts a real impulsive move, altcoin/BTC pairs bleed more than most can imagine.
According to Credible Crypto, the underperformance of altcoins against Bitcoin usually ends when BTC hits a new all-time high.
“Altcoins are looking good against the US dollar, some are definitely looking good, but BTC is still outperforming most. This will change at some point. Usually, almost (or soon after) all-time highs are broken as new money pours into the stragglers.
Until then, attention and liquidity will be concentrated on a rapidly advancing Bitcoin, and that should be your focus (for now).”
On Bitcoin’s price action in the future, Credible Crypto say he is targeting BTC to get above $32,000.
“Now that we have cleared the local supply zone [around $30,000] where I said we should be cautious, I’m also optimistic again on a low time frame.
If this is an impulsive move and the start of our accelerated move to new all-time highs, we should hold the GREEN zone (earlier resistance) on any retests.
First target, $32,000+.
Bitcoin is trading at $30,074 at the time of writing.
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