98% Of Altcoins Topped Market Cycle, Bitcoin In Transition: Andrew Kang

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As a long-term crypto investor with some experience under my belt, I find Andrew Kang’s analysis intriguing. The Mechanism Capital founder has identified Bitcoin as being in the middle of a transition amidst the latest price onslaught, while almost all altcoins have reached the top of their market cycle.

As a crypto investor, I’ve come across Andrew Kang’s perspective that most altcoins might have hit their peak in the market cycle. However, it’s essential to note that I’m not him, and this is my interpretation of his views. In contrast, Bitcoin (BTC), according to him, is undergoing a transition during the recent price surge.

Kang Spots Bitcoin Market Inflection Point 

In a recent post, Kang mentioned a comment he made about the crypto market a week prior as a point of comparison.

The analyst pointed out that Bitcoin’s price movements have brought the cryptocurrency market to a significant turning point. Following prolonged phases where certain trading patterns have prevailed and been consistently profitable, this observation was made in his post. He also drew attention to a frequent error in the crypto industry, which is purchasing digital assets prematurely when the trend has shifted from downward to upward.

One common error in crypto market trading is purchasing assets before a trend transitions from an uptrend to a downtrend.
Corrections from big market structure breaks are always deeper and longer than most expect
You do not buy when a few people are bearish 10% off BTC highs. Some…
— Andrew Kang (@Rewkang) July 7, 2024

According to Kang’s perspective, corrections in major market structures tend to be more profound and prolonged than most people anticipate. Therefore, his recommendation to investors and traders is to purchase Bitcoin and altcoins during the next cycle when the majority are forced to sell, instead of when a small group displays bearish sentiment.

A user of X commented on Kang’s post, implying that his remarks indicated the end of the current trend. They also questioned whether it would be unnecessary to acquire any tokens from now on.

Kang expressed his viewpoint that approximately 98% of altcoins had peaked in the market cycle as of then. He didn’t provide any concrete details, but he hinted that only a select few coins would hit new highs by the end of Q4 2024 or the beginning of Q1 2025.

Spot Ethereum ETF Trading To Trigger Price Surge

Significantly, Ethereum (ETH), the most prominent altcoin, seems unlikely to fit into the first category described by Kang. The crypto community is optimistic that the SEC in the US will give its approval for trading spot Ethereum ETFs soon.

As a crypto investor, I’m keeping a close eye on the developments at the SEC. The general consensus among analysts and market observers is that we can expect their decision within the next two weeks. If this timeline holds true, it’s reasonable to anticipate a significant price surge for ETH. At present, ETH is trading at $2,998.67 with a minimal 1.64% decline over the past day. According to market projections, the altcoin could reach as high as $3,800 in the short term, potentially even surpassing this price point.

As a crypto investor, I recognize that Bitcoin is presently undergoing a transformative phase towards becoming a “supercyclical asset.” Nevertheless, it’s important to note that its future direction remains uncertain at this juncture.

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2024-07-07 21:54