Many people have recently lost faith in the continuation of this bull cycle. Considering that many top altcoins have fallen by more than 60% in the past few months, their disappointment is understandable. It is indeed not easy to survive such a market downturn.
Considering that many top altcoins have fallen by more than 60% in the past few months, their disappointment is understandable. It is indeed not easy to survive such a market downturn.
However, there are many signs that this cycle is not over yet.
Of course, nothing is certain in the financial markets. But I do think that the risk/reward of being bullish at this time is very attractive.
In this issue, I will explain why I expect an altcoin season to occur later this year, and the strategy I am taking now to maximize my profits in the next rapid upward phase.
Let's dive in.
There are many reasons, but in short, here are the main ones:
Stock markets are at all-time highs
Fed rate cuts are expected later this year
Total stablecoin supply is growing
Major US presidential candidates now support crypto
Traditional financial institutions (e.g. BlackRock) are starting to take notice of crypto
About $16 billion in cash will be distributed to FTX creditors in the coming months — many of whom will likely plow that money back into the market
Q3 is historically the worst quarter for crypto
With the US election, Fed rate cuts, and FTX cash redemptions planned for Q4, it’s hard for me to imagine a scenario where BTC has already peaked.
Throughout this cycle so far, BTC’s dominance has been rising. Altcoin seasons usually begin when this trend reverses, which I think will likely happen in Q4.
SOL, MATIC, FTM, and LUNA are all used to pay gas fees and secure blockchain networks, while SPELL has a revenue sharing model.
Strong communities — the more active a project’s community is on X, the higher its token’s valuation is likely to be