Market analyst and communicator Benjamin Cowen issued a warning about altcoins, stating that most of them will never return to their all-time highs. In a video published on his YouTube channel, Cowen explained that many altcoins are stuck in significant downtrends, making the strategy known as DCA (Dollar-Cost Averaging) not as effective as one might hope.
The analyst also predicted that some cryptocurrencies may simply disappear. He stated: “There may be one in 10, or one in 50, or one in 100 that reaches new highs, but many of these cryptocurrencies may simply disappear.”
One of the factors contributing to uncertainty in the altcoin market is low liquidity, resulting from limited interactions with exchanges and declining capital flows. This makes the long-awaited “altseason” a distant prospect.
However, Cowen highlighted that Bitcoin remains a relatively safe option, particularly for long-term investors. Bitcoin's continued accumulation has reached new all-time highs, relieving selling pressure and helping maintain its price stability.
The analyst advised investors looking to gain exposure to digital assets this year, especially ahead of the halving scheduled for April-May 2024, to consider Bitcoin as a reasonable choice. Cowen explained that the halving event often acts as a catalyst for the rise in Bitcoin's price.