Galaxy Capital’s Mike Novogratz Warns that Finding Crypto Bottoms is Dangerous, Altcoins Could Dump by Another 70%

Abstract:

• Mike Novogratz has warned the crypto neighborhood in opposition to selecting worth bottoms as it’s harmful.
• He additionally identified that the majority altcoins are down by over 80% from their highs, and the losses within the 2018 bear market had been over 95%.
• Consequently, altcoins will doubtless drop by one other 70% from their present ranges.
• Robert Kiyosaki has additionally highlighted that market crashes may very well be an opportune time ‘for good traders to grow to be very wealthy winners.’

The CEO of Galaxy Digital, Mike Novogratz, has warned the crypto neighborhood in opposition to selecting worth bottoms in the course of the ongoing bear market as it’s harmful. In accordance with Mr. Novogratz, anybody making an attempt to time the crypto market backside ought to accomplish that steadily.

As well as, Mr. Novogratz highlighted that many altcoins are down by 80% from their latest highs. However extra losses might quickly observe, on condition that the 2018 bear market resulted in the identical altcoins retracing by 95%. He, subsequently, forecasted that altcoins might shortly fall by one other 70% from their present ranges. He said:

Alts are down over 80 p.c from the highs.

In [2018] it was over 95 p.c. That’s down one other 70 p.c.

My level is selecting bottoms is harmful and should you do scale in slowly.

Bear Markets Flip Good Traders into Winners – Wealthy Dad Poor Dad Creator

In one other Tweet, the writer of Wealthy Dad Poor Dad, Robert Kiyosaki, highlighted that bull markets make silly traders look good. Nevertheless, bear markets flip the identical silly traders into losers and good traders into winners. He additionally identified that market crashes might present alternatives for good traders to grow to be very wealthy winners.

Mr. Kiyosaki shared his insights on the mechanisms of bull and bear markets by way of the next tweet.

RICH DAD stated “Bull Markets make silly traders look good. Bear Markets flip the silly traders into losers and good traders into winners.”Markets are crashing. Time for good traders to grow to be very wealthy winners. Take care

— therealkiyosaki (@theRealKiyosaki) May 21, 2022

Bitcoin Continues to Consolidate Between $30k and $28k

Regarding worth motion, Bitcoin continues to consolidate between the $30k resistance stage and the $28k help stage. The King of Crypto continues to commerce in bear territory beneath the 50-day (white), 100-day (yellow), and 200-day (inexperienced) transferring averages, as seen within the following BTC/USDT chart.

Nevertheless, the day by day MFI, MACD, and RSI are in oversold territory and will sign a continuation of consolidation or an try at reclaiming $30k as help.

However warning is suggested longing Bitcoin given the bearish temper surrounding each the normal and crypto markets as a consequence of varied international central banks, together with the US Fed, rising rates of interest to tame inflation.

Consequently, the consolidation being noticed by Bitcoin may very well be the genesis of one other drop to decrease ranges, such because the latest low of $26,700 and even decrease to Arthur Hayes’ forecast of $20k.