Originally published on: December 11, 2024
Venture capital firm founder Felix Hartmann predicts that the majority of altcoins will continue to trend downward until the end of January 2025. While some altcoins may experience brief increases, many are expected to undergo a slow bleed or consolidation for the next 2-6 weeks. Hartmann advises against chasing altcoins with hopes of significant returns, as many have already peaked following rapid price surges.
The overall altcoin market has recently seen a 24-hour decline, resulting in the liquidation of approximately $481.6 million in long positions. According to CoinGlass, this downward trend is expected to persist in the near future.
Despite the recent market turbulence, there may still be opportunities for investors to capitalize on Bitcoin’s price movements. Hartmann suggests that Bitcoin has a fair chance of retesting the $99,000 level, driven by potential short squeezes. Should Bitcoin surpass this level, approximately $1.53 billion in short positions could be at risk of liquidation.
Many traders and analysts are closely monitoring Bitcoin’s price action, anticipating potential market shifts in the coming weeks. While volatility remains high, there is optimism surrounding the cryptocurrency market’s potential for a new leg higher in the first quarter of 2025.
It is essential for investors to conduct their own research and exercise caution when entering the crypto market, as every investment carries inherent risks. Stay informed and subscribe to our Markets Outlook newsletter for critical insights and updates on investment opportunities.