Altcoins are experiencing their second biggest drop in six years! So how many months are left until the drop ends? CryptoQuant analyst analyzes historical data!
While Bitcoin has reached numerous new all-time highs (ATHs) over the past year, most altcoins have failed to surpass their recent ATHs. At this point, the altcoin market continues its prolonged decline, with the current altcoin downturn marking the second-longest losing streak since 2020.
According to data shared by CryptoQuant analyst Darkfost, 84% of altcoins listed on Binance are trading below their 200-day moving average.
The analyst noted that 84% of altcoins listed on Binance are trading below their 200-week moving average (MA), indicating a prolonged downtrend.
According to the analyst, the total market capitalization of altcoins excluding Ethereum (TOTAL3) has been on a downward trend for eight months.
The analyst also added that altcoin prices showed a high correlation with Bitcoin (BTC) during this cycle.
Finally, the analyst noted that this ongoing decline is pushing investors to their limits, pointing out that the current drop marks the second-longest altcoin decline since the 10-month bear market of 2020.
Darkfost added that although the market is currently in an overwhelming downtrend, historically, such recessionary periods have also presented opportunities.
The analyst noted that while the ongoing decline is frustrating, historically such periods have also presented medium-term investment opportunities, adding, “However, this cycle requires much tighter stock selection compared to the past.”
*This is not investment advice.
Continue Reading: Altcoins are experiencing their second biggest drop in six years! So how many months are left until the drop ends? CryptoQuant analyst analyzes historical data!
You May Also Like
Why The Green Bay Packers Must Take The Cleveland Browns Seriously — As Hard As That Might Be
Crypto Hack: Drift Protocol Drained Over $200M in Private Key Breach
