Reading time: ~ 2 m
Nicholas Merten explained that investors are massively transferring capital to alternative coins due to the long-term presence of bitcoin in a narrow range
The opinions of experts may not coincide with the position of the editorial board. RBC-Crypto does not provide investment advice, the material is published for informational purposes only. Cryptocurrency is a volatile asset that can lead to financial losses.
Trader Nicholas Merten predicted that the altcoin market will grow significantly in the near term. According to the analyst, due to the fact that bitcoin is in a “sideways” movement, investors are beginning to massively transfer capital into alternative coins. If the situation on the market does not change in the coming weeks and bitcoin continues to trade in a narrow range ($ 45-50 thousand), then the “altcoin season” will begin, says Merten.
The “season of altcoins” on the crypto market is the period of active growth of alternative coins.
According to the trader, the decentralized finance (DeFi) segment remains the most promising direction of the crypto market. Merten believes that Uniswap and Aave tokens will be able to show significant growth in the near future.
The price of the Uniswap token has been in a downtrend since May last year, Merten said. In his opinion, the value of the altcoin pushed off the strong support level around $ 15 and exited the downward movement. In the coming months, the token is able to return to its all-time high at around $ 45 (an increase of 200% from current levels).
On January 4, the Uniswap token is trading at $ 18.7. Over the week, altcoin has fallen in price by more than 2%, and its capitalization has dropped to $ 8.4 billion, according to CoinGecko.
Uniswap is one of the largest decentralized cryptocurrency exchanges that was launched in 2018.
A similar situation is observed with the Aave token, Merten is sure. According to him, the altcoin bounced off the support level, which is in the $ 169 region. The Aave token will soon be able to exit the downward movement, which has been going on since May of this year, and aim at updating its all-time high above $ 661 (an increase of 148% from current levels).
On January 4th, the Aave token is trading at $ 268. Over the week, altcoin fell in price by 4%, and its capitalization decreased to $ 3.6 billion.
AAVE is the governance token of the eponymous decentralized crypto lending platform.
#wellknown #trader #predicted #onset #altcoin #season