A top crypto analyst is seeing signs that some altcoins might be nearing a bottom and could soon start to rise in price. Jamie Coutts, the chief crypto analyst at Real Vision, is keeping a close eye on a key metric: the performance of the top 200 cryptocurrencies compared to Bitcoin.
The Altcoin Market is Looking Bleak, But There’s Hope
Coutts says that the top 200 equal weight index, which tracks the performance of the top 200 cryptocurrencies by market cap relative to Bitcoin, is showing that altcoins are currently underperforming significantly. He believes that this could be a sign that the altcoin market is close to hitting its bottom.
“This underperformance is at an extreme level,” Coutts says. “But it also means there could be opportunities for some high-quality altcoins that have been beaten down.”
Don’t Expect an Altcoin Boom Just Yet
While Coutts sees potential for some altcoins to rebound, he doesn’t expect a full-blown “altseason” – a period of significant growth in the altcoin market – until Bitcoin breaks its all-time high.
He also believes that the broader altcoin market may not start to recover until late 2024 or early 2025. This is based on the fact that a large number of altcoins are currently underperforming against Bitcoin.
“The bottoming process usually takes months to resolve before a recovery,” Coutts explains. “We’re seeing a similar pattern to what happened in 2020, but it’s different from the end-of-cycle collapse we saw in 2022.”
Disclaimer: This information is for educational purposes only and should not be considered investment advice. Always do your own research before investing in any cryptocurrency.
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