‘Depressing Bear Market’ Potentially About To Begin for Altcoins Amid Worrying Signs in Stock Market: Veteran Trader
A seasoned trader and analyst is warning that the future appears perilous for altcoins as the US stock market flashes worrying signs.
The trader pseudonymously known as The Flow Horse tells his 9,120 Telegram subscribers that with the exception of Bitcoin (BTC), crypto assets could be at the “beginning of a depressing bear market.”
According to the analyst, the pump-and dump-schemes linked to memecoins witnessed over the past few weeks are “massively overdone” and could mark the “jump the shark” moment for grifting in the crypto space.
According to the trader, another reason that has made him bearish is the trend shift for some US tech stocks.
“Palantir, Microstrategy, Walmart, Microsoft, Coinbase, Meta, Tesla, NVIDIA – some with trend shifts and some with reminiscences of parabolic blow-offs. The worrying thing is that Satya Nadella (Microsoft CEO) kind of called bullsh*t on artificial general intelligence (AGI) and this whole trend with artificial intelligence (AI) capital expenditures.
This is not normally my area to dig into, but it’s worth remembering that a lot of the returns we are seeing in the market are in some way related to tech and AI arriving ‘better and faster’ than later. They have been a tailwind for everything, so I am concerned when those winds seem to shift at large and potentially all at once.”
The Flow Horse also says that the efforts by the Department of Government Efficiency (DOGE) to reduce the federal workforce could impact the US unemployment rate negatively and this could have a ripple effect on the market.
“The actions of Elon [Musk] and [US President Donald] Trump are also kind of sketchy, so I am wondering how that impacts job reports moving forward and how the market responds to that.
All in all, there is a lot of weirdness in the air, and I think this kind of feeling usually precipitates a larger drop in stocks.”
According to the pseudonymously named analyst, traders will be at an advantage going forward compared to the long-term holders of altcoins.
“I see a ton of opportunities for traders, but a lot of pain for people that can not let go of this idea they had of up-only altcoin season ‘just getting started.’”
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Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
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The post ‘Depressing Bear Market’ Potentially About To Begin for Altcoins Amid Worrying Signs in Stock Market: Veteran Trader appeared first on The Daily Hodl.
