Alternative coins or altcoins have been slowly bleeding over the last two years.
This is especially true for altcoins in their bitcoin (BTC) pairs. Many are down by over 90% from their all-time highs. Some mid-cap coins have even breached their historical support levels and are printing fresh lows on an almost daily basis.
The drop was so deep that some retail traders had to cut their losses after months of HODLing.
For experienced traders, watching retail investors capitulate is always a good sign. It indicates that the bottom is around the corner. This is perhaps one of the reasons why some widely-followed accounts on Crypto Twitter (CT) are starting to be bullish on altcoins.
Large Cap Coins Are Up Big Against Bitcoin and the U.S. Dollar
Big accounts on Crypto Twitter that have been quiet on altcoins are now starting to speak up. One in particular is Crypto Bitlord, who has over 100,000 followers. The pseudonymous account tweeted,
This is the bottom for most alts.
Crypto Bitlord is not the only big account that’s feeling bullish on altcoins. Crypto Rand has over 200,000 followers. Recently, the trader tweeted,
I’m starting to have a good feeling about altcoins
Crypto Loomdart, who has over 90,000 followers, is also bullish on altcoins.
The famous The Crypto Dog is also bullish.
These four traders are just the tip of the iceberg. There are many more CT accounts with huge followings that are shifting their sentiment from bearish to bullish. They may have a strong point.
The same is true for altcoins and their U.S. dollar pairs. Big cap names such as Ethereum, Ripple and TRON are leading the pack.
Some may argue that this is just a dead-cat bounce but a Wyckoff whiz thinks otherwise.
Top Technical Analyst: ‘A Big Bull Market’ In Crypto Is on the Horizon
In addition to the big CT accounts who are feeling bullish on the prospects of cryptocurrencies, a Wyckoff expert also shares the same sentiment. In an exclusive interview with CCN, Todd Butterfield, the owner of the Wyckoff Stock Market Institute, said,
I think altcoins could lead a rally here for a couple weeks then I think bitcoin is still going to break $9,000 quickly and this will probably drag the alts down some as well. Then, we start a big bull market.
When asked to clarify whether the “big bull market” included altcoins, the trader replied,
Yes, I think so. Maybe not a crazy alt market but a good one.
We also spoke to two traders and they share Mr. Butterfield’s sentiment. When asked about whether he is bullish on altcoins on their BTC and USD pairs, Scott Melker, also known as the Wolf of All Streets, replied,
Both at the moment.
In addition, Trader Max, also known as Bitcoin Jack, had the same response. The trader said,
Both USD and BTC [risk and reward] ratios on alts look impeccable since 2 weeks.
Like we said, retail traders capitulating is also a good sign. We might be looking at a generational bottom.
This article was edited by Sam Bourgi.
Last modified: January 12, 2020 11:01 AM UTC