In the past few days, the cryptocurrency industry has continued to consolidate without a clear winner between buyers and sellers. In the mid-term, the lack of definitive direction on Bitcoin (BTC) price action has accelerated profit-taking in the altcoin industry.
Crypto Whales Gradually Accumulate
Nonetheless, on-chain data shows smart traders have continued to accumulate strategic crypto assets in preparation for explosive rallies ahead.
Moreover, favoring fundamentals such as the fourth Bitcoin halving and approval of spot BTC and Ethereum ETFs in the United States and Hong Kong have already happened in the past few months.
Consequently, more cash inflows from institutional investors to the crypto industry will continue to improve existing liquidity. In the latest revelations, Singapore’s largest Bank, DBS, holds nearly $650 million worth of Ether, according to Nansen data.
Choppy Days for the Altcoin Industry are Numbered
Apart from a few altcoins led by those in the meme coin industry that have registered colossal profits, most are still consolidating after the crypto bear breakout earlier this year. According to a popular crypto analyst Michaël van de Poppe, the total altcoin market cap will continue to consolidate around $667 billion soon.
However, the crypto analyst believes that the downward pressure in the altcoin industry is over, thus signaling an inevitable bullish breakout.
Similar sentiments were expressed by a different crypto analyst alias MikyBull Crypto, who believes that the altcoin industry is closely replicating the 2016/2017 rally in the ongoing bull market. The crypto analyst highlighted that the ongoing altcoin correction was the last shakeup before the much-anticipated parabolic rally.
