Altcoins consolidation for a few weeks/months before parabolic
So this is the total altcoin market cap on a weekly.
Think of this as a normal chart of a coin, how would you think of this?
Just broke out on heavy volume, retested the level perfectly, and closed above support.
It's taken some effort to break previous all-time highs and in my opinion, the more consolidation we get from altcoins, the bigger the parabolic move we will see.
Might take a few weeks, months to shake off impatient HODLers but once we do and the proper alt season kicks in, there will be billions of dollars pouring into this space.
Some trends that could contribute to more parabolic moves.
1. Back in 2017, we just had ETH as a major eco-system for projects. Now, we have Binance, Polkadot, Cardano, and more small eco-systems.
2. Every bubble draws more curiosity to a certain space, takes them down a rabbit hole, and makes them experts at it.
3. Power of the internet, social media, and memes. Look no further than Gamestop and AMC.
4. Ease of access: Ease of registering and verifying, Major payment companies like Square and Paypal facilitating crypto trading. Ease of access to information and
5. Public awareness of monetary policy
6. DeFi and NFT's
All these trends could contribute to the next few legs of the total market cap of altcoins.
That said, humans overestimate what can be done in a year and underestimate what can be done in 5-10 years(Amara's law). Whether we like it or not, there will be a bubble where we(me included) will get greedy and think of crazy price targets for alts. That's exactly when we should get cautious and manage risks properly.
Cryptocurrency is an amazing space to get into and there will be so many great projects. But in the short term, we will create unrealistic expectations and contribute to cycle top.
All the best, see you on the moon ;)
Think of this as a normal chart of a coin, how would you think of this?
Just broke out on heavy volume, retested the level perfectly, and closed above support.
It's taken some effort to break previous all-time highs and in my opinion, the more consolidation we get from altcoins, the bigger the parabolic move we will see.
Might take a few weeks, months to shake off impatient HODLers but once we do and the proper alt season kicks in, there will be billions of dollars pouring into this space.
Some trends that could contribute to more parabolic moves.
1. Back in 2017, we just had ETH as a major eco-system for projects. Now, we have Binance, Polkadot, Cardano, and more small eco-systems.
2. Every bubble draws more curiosity to a certain space, takes them down a rabbit hole, and makes them experts at it.
3. Power of the internet, social media, and memes. Look no further than Gamestop and AMC.
4. Ease of access: Ease of registering and verifying, Major payment companies like Square and Paypal facilitating crypto trading. Ease of access to information and
5. Public awareness of monetary policy
6. DeFi and NFT's
All these trends could contribute to the next few legs of the total market cap of altcoins.
That said, humans overestimate what can be done in a year and underestimate what can be done in 5-10 years(Amara's law). Whether we like it or not, there will be a bubble where we(me included) will get greedy and think of crazy price targets for alts. That's exactly when we should get cautious and manage risks properly.
Cryptocurrency is an amazing space to get into and there will be so many great projects. But in the short term, we will create unrealistic expectations and contribute to cycle top.
All the best, see you on the moon ;)
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.