Amid the price stall in the last few days of 2024, Bitcoin’s dominance has recovered to nearly 60%, increasing the belief among traders that it may be time to switch their accumulation strategies to altcoins. are.
“At the moment, altcoins offer much more optimal R/R. [Risk Reward] “It has a better profile than Bitcoin,” crypto trader Dime said in the X newspaper on December 27th. post,addition:
“The era of DCA Bitcoin is still over a year and a half away.”
According to a survey published by Kraken on October 7, approximately 83.5% of crypto investors use dollar-cost averaging (DCA) strategies, and 59% still use dollar-cost averaging (DCA) strategies as their primary method of purchasing cryptocurrencies. are using it.
A DCA strategy invests a fixed amount of money in an asset at regular intervals to understand its highs and lows, resulting in a single average purchase price.
As of the publication of this article, Bitcoin's dominance remains at 58.35%. sauce: TradingView
Dime told his 64,400 X followers that the altcoin market will be in a “stupid place” in 2025, with assets ranging from Dogecoin (DOGE) to Solana (SOL) or meme coins more broadly. He said higher risk/reward opportunities may exist.
However, Dime said existing Bitcoin (BTC) holders should “stay the course and rise.” “Assuming, of course, this cycle continues,” he says.
Echoing a similar sentiment, Thorp Capital CEO Tyler Durdan said in X Magazine on December 26th: post “The next step is going to be brilliant.” Dardan added:
“We're thinking about the idea that this might be on its last legs, but the fact is the cycle is still there.”
Adam Cochran, a partner at Sinneamhain Ventures, seems to agree, saying that the U.S. Bitcoin Strategic Reserve is “unlikely to prevail with Congress right now” and that Bitcoin could be used in other markets in the near term. He said that he thinks it will be difficult to outperform.
“Other assets will benefit from regulatory clarity, new launches, a new ICO era, etc., which will suck a lot of liquidity out of BTC space,” Cochrane said. This was stated in the February 26th paper X. post.
Changing attitudes towards Bitcoin in the US “from above”
But some observers, including Blockchain Association CEO Kristin Smith, say Bitcoin's momentum is far from over and there is still upside potential for new investors at this stage in the cycle. states.
December 26th interview Smith told CNBC that Bitcoin will reach $200,000 before hitting $50,000. According to CoinMarketCap, this represents an increase of approximately 108% from Bitcoin's current price. data.
At the time of publishing this article, Bitcoin is trading at $95,720. sauce: coin market cap
Bitcoin is currently trading at $95,720, and CryptoQuant contributor Darkfost recently stated that $95,000 is a “favorable zone to implement a DCA strategy.”
Related: Buyers of Bitcoin “Santa Rally” intervene, pushing BTC price to $98,000
Smith added that the incoming Trump administration, along with a change in attitude “from the top” in the US and more financial advisors on board, will spark a new wave of capital inflows into Bitcoin.
“We're going to see more and more people getting into Bitcoin because more and more retail financial advisors are advising their clients to do this,” Smith said.
“People want more Bitcoin, not less,” she added.
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This article is for general informational purposes only and is not intended to be, and should not be taken as, legal or investment advice. The views, ideas, and opinions expressed herein are those of the author alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.
