Time To Buy The Dip Says Top Crypto Analyst, Altcoins On the Move

On Mar 19, 2024

Cryptocurrency markets have seen a notable drop in its price following Bitcoin’s recent all-time high. Altcoins also suffered steep declines, with some down by 30% to 40%. Bitcoin itself experienced a 12.36% decline last week and is currently trading around $62, 980, down from a high near $74,000.

Amidst this volatility, CryptoAmsterdam, a leading crypto analyst, provides insights on how investors can profit from these challenging market conditions.

He argues that these downturns, known as “bull flushes,” can present unique opportunities for investors to enter the market.

Bitcoin and Altcoin Dynamics

In his analysis, CryptoAmsterdam delves into the dynamics between Bitcoin and altcoins during a bull market. As bitcoin tends to lead the market in the early stages of a bull run, while altcoins tend to outperform bitcoin catching up later.

Crypto bull market flush!
> Bitcoin is down 12%, and many Altcoins are 30-40%.
> Bull Flushes are normal, per the chart below, presenting an opportunity to get in.
> You want to buy in these weeks, not in the green one.
> These periods distinguish the winners (dip buyers)… https://t.co/M8yhU2g8ED pic.twitter.com/1FLeTPPT0R
— CryptoAmsterdam (@damskotrades) March 19, 2024

By identifying key indicators such as reclaiming the range low, a break above 0.25 on the range, and identifying short-term resistance at the midpoint, analysts see that altcoins are making a parabolic move that will push altcoins into bullish territory

The Investment Approach

The further analysis presents two possible scenarios for market developments to provide strategic guidance for investors. In one scenario, bitcoin could find support at or near the top of the range, while altcoins bounce in the 0.25 and 0.5 range levels outside of it, which could be seen in the chart.

On the flip side, bitcoin could drop deeper into the 0.75 range, triggering further altcoin price declines, and providing a final buying opportunity before a possible market recovery.

Key Takeaways

Meanwhile, the analysts also advise investors to take a gradual approach to scaling in their favorite altcoins during market dips.

He emphasizes the importance of focusing on long-term exposure rather than trying to catch the market at the bottom. In addition, he recommends the use of spot trading and spreading investment when prices fall.