Real Vision Analyst Bullish on Altcoins Amid Bearish Sentiment
Real Vision’s chief crypto analyst, Jamie Coutts, is leaning bullish on altcoins despite the prevailing bearish sentiment in the market. Coutts believes that there are signs indicating a potential bullish reversal for some altcoins.
Altcoin Market Analysis
Coutts points to the ratio between the equal cap weight and the market cap weight of the top 200 largest altcoins by market cap, which is currently at a four-year low. According to him, this ratio suggests that high-quality altcoins may be on the verge of recovery.
Bitcoin Market Analysis
On the other hand, when it comes to Bitcoin (BTC), Coutts mentions the Market Value to Realized Value (MVRV) metric, which indicates that Bitcoin may have reached a cycle peak in the fourth quarter of 2024. This suggests that a bear market could be looming for Bitcoin.
Factors Influencing Bitcoin’s Future
Coutts highlights that various factors could determine whether Bitcoin continues on a bearish trajectory or enters an uptrend. He mentions the impact of the current US administration’s efforts to close the federal budget deficit and how this could create uncertainty in the market.
Global Liquidity Impact
Coutts emphasizes that global liquidity conditions will play a crucial role in determining Bitcoin’s future. If global liquidity improves, Bitcoin could see further upside potential. However, if liquidity remains constrained or worsens, Bitcoin may be headed for a downward trend.
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