One trader said memecoins and additional cryptocurrency subsectors are likely to outperform the rest during this market cycle.
Pseudonym analyst The Flow Horse says The 204,000 followers of social media platform
“Forget the wealth effect of Bitcoin or ETH. Profits on Memecoin capital will create another Alt Cycle.”
In addition to meme cryptocurrency assets, top analysts include: optimistic Information about altcoins belonging to the artificial intelligence (AI) subsector.
“Barbell AI and the memecoin portfolio appear to be the (regressive) plays of this cycle.”
The Flow Horse sees great potential in AI and memecoins, but warns that the cryptocurrency market is starting to send signs that it is overheating. Traders are looking at altcoin funding, which tracks the fees paid by cryptocurrency traders holding futures or margin positions.
Altcoin funding remains at high levels, according to a cryptocurrency strategist, suggesting that a correction to drive out overly leveraged traders could be in the cards.
“Let me just say this. Last time we tried to hit a new all-time high (ATH), we spent a month consolidating below this level. Alternative funds used to be around this level, but after the ATH outage they ended up hitting double this value.
BTC fell 20%, and many altcoins fell by double that.
Currently we have four sessions all trading within the same tight range. Expect some fucking.
You can always treat the market like the S&P (500). It is longer, stronger and more defensive than ATH (in this case Bitcoin).”
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