Jamie Coutts: The groundwork for the 2021 altcoin boom is being re-established
Jamie Coutts, former Bloomberg analyst, said global liquidity is starting to rise and the current situation in terms of altcoins is similar to late 2020.
Real Vision analyst Jamie Coutts claimed that altcoins may be close to repeating the explosive rises seen in 2020 and 2021.
Coutts, who is also a former analyst at Bloomberg, bases this forecast on a metric where the performance of the top 200 cryptocurrencies compares to the total market cap.
The latest state of the metric was similar to the late 2020, when Bitcoin surpassed the rest of the market for months in terms of performance, while at the same time global liquidity increased. According to Coutts, this is a sign of upside for altcoins.
A Real Vision analyst said, “I've shared this chart before. The chart shows the equal weighted index (EQW) of the largest 200 cryptocurrencies and its ratio to market cap.The crazy altcoin rally in 2020 and 2021 took place after a serious bad trend. The situation is similar these days, when we see that global liquidity has started to increase," he said.
Coutts stressed that Bitcoin lags behind the global M2 currency supply, which gained momentum upward after a long hiatus.
