(Kitco News) - It was a day of consolidation for the broader cryptocurrency market on Thursday as Bitcoin slid below $43,000 while many of the altcoins that had seen large price increases over the past week or two corrected lower as traders booked profits.

Stocks were higher for the majority of the trading day as investors looked to finish 2023 with the same strength that has pushed the S&P and Dow to record highs in recent days. But traders ran out of steam into the close, resulting in a flat performance for the S&P and Nasdaq, while the Dow gained 0.14%.

Data provided by TradingView shows that after Bitcoin (BTC) bulls pushed its price to a daily high of $43,835 in the early hours on Thursday, bears took control of the price action and dropped the top crypto to a low of $42,265 in the afternoon before bulls managed to halt the slide. At the time of writing, Bitcoin trades at $42,600, a decrease of 1.75% on the 24-hour chart.

BTC/USD Chart by TradingView

According to former Goldman Sachs executive Raoul Pal, the gains seen so far in 2023 are but the start of a crypto bull market cycle that could last up to four years and see Bitcoin hit a high of $1 million by 2025.

Looking at a long-term chart of Bitcoins performance since 2013 that Pal said is a perfect logarithmic trend chart, he said that his firm thinks the business cycle peaks sometime at the end of 2025, and that would suggest a crazy sort of target that could get somewhere between half a million and a million dollars in Bitcoin.

Do I expect that? Probably not, but who the hell knows right? Pal said.

He went on to suggest that the current bull market cycle is similar to the 2016-2017 cycle which saw digital asset prices surge higher as the result of a large influx of liquidity, and said that with the launch of a spot BTC ETF on the horizon and the approaching Bitcoin halving in April, this bull market is still in its early stages and has a long way to run.

These cycles can be crazy and this one feels more like the 2016-17 cycle than it does the prior cycle. And that cycle didnt have a lot of central bank printing, not in the US, Pal said. But central bank balance sheets were rising. We saw a 20% growth in liquidity. And what happened was crypto absolutely exploded. I kind of feel like thats the case. I dont focus on the end target. I focus on the structure. But Im just showing you the magnitude of the opportunity. And were still at one standard deviation oversold. Its all to play for. Weve barely started.

Crypto trader Nestay also thinks the current cycle is similar to what was seen in 2015-2017, and coined the term golden cycle to describe Bitcoin bull markets.

So far, our current golden cycle is most similar to the '15-'17 one, he said. We started off with a crash, but it recovered fast, a re-accumulation period followed, and now we are heading into the golden rejection.

During the 2015-2017 cycle, the golden rejection took place near $800 in mid-late June and was followed by a pullback to the previous resistance at $480, which flipped to support. After that, BTCs price steadily climbed higher until it underwent a blow-off top in late 2017.

If we do reject [near $50,000], I expect us to S/R flip the re-accumulation range, Nestay said. Like each past golden cycle, a re-accumulation phase follows into the halving before the bull begins his run and sends us into new ATHs, he concluded.

In every Four Year Cycle, there is always a resistance that rejects price for 3 years (black), said market analyst Rekt Capital. But in a new Candle 4, this resistance is finally broken.

In this four-year cycle that resistance is $46,000, he said. In 2024, BTC will break $46,000 easily.

Altseason fades away

The majority of tokens in the top 200 traded in the red on Thursday as traders looked to decrease their exposure ahead of a potential market-wide correction lower.

Bitcoin Gold (BTG) was the biggest gainer with an increase of 24%, followed by a 23% gain for Bitcoin SV (BSV), and a 14% increase for Tellor (TRB). Decred (DCR) was the biggest loser with a decline of 18%, while Kadena (KDA) fell 15.5%, and Raydium (RAY) lost 12.8%.

The overall cryptocurrency market cap now stands at $1.67 trillion, and Bitcoins dominance rate is 50%.

Disclaimer:The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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Crypto prices retreat as consolidation sets in following altcoin surge - Kitco NEWS

In the dynamic world of cryptocurrencies, ongoing discussions center around optimal investment choices among Bitcoin, Ethereum, and alternative coins. Notably, crypto analyst Michal van de Poppe, sharing insights on the X platform, explores the nuances of this market, highlighting the growing potential of altcoins amid the surging popularity of Bitcoin and Ethereum.

So, lets unravel the insights into altcoin investments, the contrasting trajectories of Bitcoin and Ethereum, and the strategic considerations for navigating the crypto space.

The popular cryptocurrency analyst Michal van de Poppes analysis sheds light on the cyclical nature of crypto markets, emphasizing the recent resurgence in hype and sentiment. Notable performers like Solana and Injective have demonstrated remarkable surges, raising the question of whether altcoins remain a viable investment.

Meanwhile, Van de Poppe acknowledges the markets ebb and flow, where specific segments outshine others due to ongoing rotations. Highlighting the success of the Solana ecosystem and its memecoin rallying by over 50x, the analyst cautions against blindly following coins hyped on social media.

In addition, he advises investors to scrutinize potential returns and risks, emphasizing the diminishing upside and increased volatility of projects that have already experienced substantial gains. The key takeaway is the importance of critical thinking and a discerning approach in a market often fueled by hype.

Also Read: Bitcoin, Ethereum Drop While ORDI Shines In Crypto Market

Van de Poppes analysis extends to the perennial debate between Bitcoin and Ethereum, exploring the recent success of Bitcoin price with an 80% return in eight weeks. However, as the momentum slows during the holiday week, questions arise about whether Bitcoin can sustain further upward trends.

Notably, he also mentioned that the upcoming and much-anticipated Bitcoin Spot ETF might help BTC to keep the upward momentum in the coming days. In addition, the analyst suggests a potential shift towards Ethereum, which, despite recent challenges, is poised for growth with a Bitcoin Spot ETF expected in 2024.

Meanwhile, the contrasting trajectories of Bitcoin and Ethereum highlight the nuanced decision-making required in the crypto space. While Bitcoin may see a surge towards $50,000, Ethereums potential rally to $3,000-3,500 appears a more reasonable approach, considering its correction against the BTC pair, he suggested.

In essence, Michal van de Poppes insights underscore the importance of diversification, critical evaluation, and a forward-thinking mindset in navigating the ever-dynamic crypto market. As the industry evolves, strategic decisions that go beyond fleeting hype become paramount for sustainable and profitable investments.

Also Read: Bitwise Holds Edge Over BlackRock With 20x Seed Fund

Rupam, a seasoned professional with 3 years in the financial market, has honed his skills as a meticulous research analyst and insightful journalist. He finds joy in exploring the dynamic nuances of the financial landscape. Currently working as a sub-editor and crypto journalist at Coingape, Rupam's expertise goes beyond conventional boundaries. His contributions encompass breaking stories, delving into AI-related developments, providing real-time crypto market updates, and presenting insightful economic news. Rupam's journey is marked by a passion for unraveling the intricacies of finance and delivering impactful stories that resonate with a diverse audience.

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

Read more:
Top Crypto Analyst Compares Investment Potentials Of Bitcoin (BTC) & Ethereum (ETH) - CoinGape

Are the prices of altcoins ever going to obey gravity? An investor could be forgiven for thinking they'll continue to rocket into space indefinitely, as the long rally in their prices got even longer this week. While not every altcoin enjoyed such a rocket ride, more than a few ballooned in price.

For example, according to data compiled by S&P Global Market Intelligence, BNBsaw a double-digit gain rising by 16% over the period. Ditto for multiverse digital currency MultiversXand transaction bundling-chain Optimism'stoken, both of which advanced by the same percentage. A near double-digit gainer was Theta Network, with its nearly 10% increase.

Numerous factors were behind the continued rise of altcoins, but perhaps the most significant one is reallocation. Data crunched by crypto-trading analysis platform developer Coinalyze from January 2022 to the present revealed sharp gains in open interest (the number of trades that have not yet been closed) for altcoins, with a corresponding drop in that for the original and most popular crypto, Bitcoin (BTC 0.70%).

Compounding this, Bitcoin's price saw a bit of a jump mid-week. One of the coin's most prominent bulls, MicroStrategy (MSTR -5.43%) co-founder and board chairman Michael Saylor, announced that his company had made the latest in a series of big Bitcoin investments. This one totaled almost $616 million, more than enough outlay to push almost any asset's price higher.

As often happens with assets hit with a sudden and substantial event, Saylor's piece of news was a sugar high that couldn't last. Following this, investors took profits, and the Bitcoin price subsequently retreated. That only made altcoins more attractive for many investors, and the rally continued.

Of course, no cryptocurrency would be popular if the macroeconomic environment was unfavorable. The latest inflation figures released by not only our government but also those abroad -- we're looking at you, U.K. -- seem to indicate that price rises are cooling. This makes the long-hoped-for interest rate cuts more likely in the new year, and lower rates tend to inspire the market to chase riskier investments -- like cryptos.

This rally has quite a long tail by now, though, so investors must be cautious in this current environment. That is especially true for the more obscure and volatile altcoins, more than a few of which anchor blockchains with little to no practical value (meme coins, anyone?). Now is the time to be careful, not casually greedy.

Eric Volkman has positions in Bitcoin. The Motley Fool has positions in and recommends Bitcoin. The Motley Fool recommends Theta Token. The Motley Fool has a disclosure policy.

See more here:
Why Altcoins Zoomed Higher Again This Week - The Motley Fool

Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

Ethereums recent dip to $2.2k has caused a downturn in its ecosystem. Cosmos, on the other hand, has demonstrated resilience and innovation, attracting investors. Amidst this, Arweave and InQubeta (QUBE) have emerged as front-runners, leading the altcoin rally.

InQubeta, a new defi project, has raised over $7.6 million in its presale. It aims to pioneer a seamless investment process using QUBE and an NFT marketplace. Arweave, another altcoin, is also gaining traction.

This article explores Ethereums decline and the factors propelling Arweave and InQubetas success.

InQubetaenables fractional investment in AI startups using QUBE.

It aims to establish an open and fair investment ecosystem.

This goal supports the development and success of AI technology startups.

InQubeta, through its deflationary ERC-20 token, QUBE, can provide an opportunity for investors seeking diversified portfolios.

The tokens deflationary nature, with 2% of buy and sell taxes directed to a burning wallet and 5% of sell taxes contributing to a reward pool, can also draw users seeking staking rewards.

InQubeta has an NFT marketplace, facilitating investment in AI technology startups. By listing investment NFTs on the platform, startups can access a wider audience and gain guidance from experienced industry professionals.

To ensure market stability and sustainability, InQubeta implements a 12-week vesting period for QUBE.

This controlled release of new tokens prioritizes trust and confidence among investors, maintaining QUBE prices and reinforcing InQubetas position among altcoins.

Cosmos is competing with Ethereum.

Despite a bearish market, ATOM is up 25%, reaching a yearly high of $25.

Traders expect ATOM to break above $12.9 if buyers keep the price above $11, a crucial support level.

Ethereum plays a crucial role in decentralized finance.

On Dec. 27, ETH fell to $2.2k as the markets contracted.

Experts attribute the ETH downturn to increased investor caution ahead of significant economic events, such as the customer price listing (CPI) and the Federal Reserves last meeting of 2023.

Arewave addresses the challenge of storing data over time by offering a secure method to store information on the blockchain permanently.

The Permaweb, a collaborative and distributed web framework, powers Arweaves innovation.

Unlike traditional models, investors can actively participate and benefit from the AR ecosystem.

This collaboration ensures robust data storage, positioning Arweave as a safe space for users.

As ETH cools off, Cosmos continues to gain attention. Meanwhile, Arweave and InQubeta are gaining prominence because of their innovation.

InQubetas focus on a fair investment ecosystem highlights its dedication to the growth of AI technology startups. In the ongoing presale, investors can buy QUBE using ETH, Bitcoin (BTC), USDT, and other coins supported.

Visit InQubeta presale

Join the InQubeta communities

Disclosure: This content is provided by a third party. crypto.news does not endorse any product mentioned on this page. Users must do their own research before taking any actions related to the company.

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Ethereum falls as Cosmos rises; Arweave and InQubeta lead altcoin rally - crypto.news