As Bitcoin goes through a 10% correction and the rest of the market follows the trend, trader Michaël van de Poppe has posted a video for investors who want to profit from altcoins. To make 20x or 50x, the trader recommends focusing on altcoins that will rise even more once the correction ends.
Looking at the Bitcoin chart, van de Poppe explained that the cryptocurrency could drop to $ 49,000. In a bullish scenario, the trader believes that investors should keep an eye on the $ 53,000 zone. If BTC manages to reach this level, the price "could stay there for several weeks." At that point, there could be a major movement in the altcoin market, the trader noted:
“We will see that this period of lateral movement in Bitcoin will last for several weeks. We will probably see that people will not be interested in Bitcoin because it will do nothing, that is the period when you will want to focus on the cryptocurrency market because the opportunities will line up. If you want to make a 20x or 50x profit, get those coins when the market is falling. ”
If Bitcoin doesn't go up to $ 53,000 or $ 54,000, van de Poppe's plan would "fail." BTC would then fall towards the mid-range of $ 44,000. According to the trader, then there would be another opportunity to buy the drop of specific altcoins. While calling the current price action "very healthy," van de Poppe said the drop below $ 44,000 is something he "doesn't want to see," as this could indicate a prolonged downtrend.
Ethereum and Polkadot could outperform Bitcoin
Ethereum will be a cryptocurrency with "hot spots" amid Bitcoin's correction, the trader claimed, revealing that it will take advantage of the downtrend to acquire more ETH. He added that "he expects a lot from this project."
As van de Poppe analyzed, Ethereum failed to break above its resistance level at $ 1,800 and took a bearish trajectory by falling below the support at $ 1,700. The next support is at $ 1,400. The trader expects ETH to swing in the mid-to-upper range of $ 1,500 and then rally to $ 1,660. If the price falls again, $ 1,300 would become critical support. Also losing this would imply a possible reversal of the ETH prices that you had at the beginning of the year.
On the other hand, Polkadot could present “low levels in general”. The trader set $ 23.20 and $ 20.89 as possible targets. In ETH-like price action, DOT could hit that support zone before resuming its rally. Then the cryptocurrency could move higher to decline again and build momentum towards new highs.
All in all, van de Poppe's sentiment remains bullish, as Bitcoin registers a high level of institutional adoption, while the approval of an ETF could give it an additional boost.
(embed) https://www.youtube.com/watch?v=jCDGn9zW7K8 (/ embed)