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Vladislav Sopov

Altcoin Psycho, legendary anonymous trader and advisor at Sino Capital, shares uber-bearish prediction for altcoins holders

A cryptocurrency analyst who goes by @AltcoinPsycho is certain thatwe do not need to rely on the previous performance of Bitcoin (BTC) and altcoins in the descending phases of cycles.

Mr. Altcoin Psycho is sure that this cryptocurrency cycle will be different fromall previous ones. Typically, after a potential Bitcoin (BTC) bottom, traders moved liqudity to altcoins.

By the way, this cycle is a special one: after Bitcoin (BTC) bottoms, alts will have greatroom for further plummeting. This should be attributed to an upcoming wave of tokenunlocks.

New unlocks will provoke additional selling pressure on altcoins: newcomers and their long positions will be decimated. As such, it is betternot to try catching falling knives in this cycle.

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The next cycle will be more brutal in theseterms, Mr. Altcoin Psycho concludes.

Also, this cycle lacks consensus on what the bottom is: Bitcoin, Ethereum, altcoins and market capitalization will mostlikely reach the bottomin different times.

Thus, the Bitcoin (BTC) bottom might only signal the start of the altcoindrama. The analyst highlights that some of the mainstream altcoins realized less than 10% of their inflation curves. This means that new coins will be released to market participants.

However, opening short positions on this market might be farmore dangerous than "being sidelined in cash," the analyst adds.

As covered by U.Today previously, the Bitcoin dominance ratio (BTC.D) revisits multi-month highs and is inching closer to the critical 50%level.

Read more:
Will Bitcoin and Altcoins Bottom Together in This Cycle? Veteran Analyst Shares His Views - U.Today