In a recent update to his followers on the X platform, cryptocurrency analyst Michaël van de Poppe shared an optimistic outlook on the future of altcoin markets. He analyzed the impact of weak economic data in the United States on the crypto sector and suggested that it could lead to monetary stimulus measures being adopted by the Federal Reserve.
Van de Poppe explained that the disappointing employment data in the US, which showed a rise in unemployment and an increase in average hourly earnings below expectations, could result in a decline in the US dollar index (DXY). This, in turn, could lead to arguments for quantitative easing (QE) and rate cuts, which would increase the risk in assets. He noted that Bitcoin has already climbed back above $61,600, and he believes that the recent Federal Open Market Committee (FOMC) meeting marked the lowest point for the markets and the beginning of the altcoin bull market.
Looking ahead, Van de Poppe projected a period of consolidation for altcoins before potential new all-time highs. He estimated that the total market capitalization of altcoins could stabilize between $880 and $920 billion, serving as a potential floor before a future bull run. He stated that the market capitalization of altcoins has generally reached the bottom of this correction and expects it to stabilize in the aforementioned range before making a run towards new all-time highs.
Furthermore, Van de Poppe predicted the return of retail investors to the cryptocurrency market, driven by significant gains in altcoins. He commented that while Bitcoin is nearing all-time highs, retail investors have yet to fully enter the markets. He believes that they will return after this summer, as altcoins begin to take off. As retail investors hold altcoins, their rotation back into the market will be a positive sign. He emphasized that being ahead of schedule in this regard is beneficial.
At the time of publication, the BTC price was quoted at US$64,039.68, experiencing a 0.4% increase in the last 24 hours.
Disclaimer: The views and opinions expressed in this article are for informational purposes only and do not constitute financial, investment, or other advice. Investing or trading cryptocurrencies carries a risk of financial loss.
In other news, the SEC has delivered a decisive response in the Ripple XRP case, signaling a crucial moment for the cryptocurrency. Additionally, crypto analyst Alex Krüger has revealed his “Max Long” strategy and preferred altcoins. Franklin Templeton has also highlighted the potential of the Solana (SOL) cryptocurrency.
