Are you holding cryptocurrencies other than bitcoin? If so, you might want to overhaul your portfolio.
That’s because an expert in classical charting principles warns that buying altcoins is not a wise investment decision.
Not now, not ever.
Earlier this week, Peter Brandt took to Twitter to remind altcoin maximalists that bitcoin is the king of cryptocurrencies.
“When will altcoin junkies understand that $BTC is the crypto with real and lasting value,” Brandt said. “Altcoins are to Bitcoin what lead is to Gold.”
To emphasize his point, Brandt shared charts that expose just how poorly litecoin, ethereum, and ripple (XRP) have performed against BTC over time. Those charts illustrate breakdown after breakdown as bitcoin consolidates market share.
This evidence drives the trader’s thesis that the number one crypto is the only one worth holding.
That’s not to say that altcoin investing will never prove profitable, at least in the short-term.
“Non-BTC cryptos will enjoy periodic pumps,” Brandt said.
We’ve seen this happen before. The 2017 bull run was a perfect example. Many cryptocurrencies with terrible fundamentals suddenly and exponentially grew in value, chipping away at BTC’s market dominance.
Nevertheless, Brandt also stressed that without bitcoin, other cryptocurrencies would be completely worthless.
To further assert his bullishness on the top cryptocurrency, Brandt shared his analysis on how high bitcoin can climb in this current bull market.
Using support and resistance trendlines, he estimated that the dominant cryptocurrency could ascend to $140,000 during its fourth parabolic phase.
That’s a bold call, but $140,000 per BTC is not as outrageous as it sounds. Others have predicted that it could be worth as much as $1 million.
“The cryptocurrency market was only invented 10 years ago so there is a strong possibility that the Bitcoin platform could be the equivalent of the [internet in the 1980s].”
She also stressed that BTC could be the economy’s “great equalizer”:
“Bitcoin is laying the foundation to possibly serve as the greatest wealth transfer mechanism in history as it levels the playing field for people all over the world to use a singular means of trusted exchange to control their own destiny.”
Click here for a real-time bitcoin price chart.
Last modified: June 23, 2020 2:33 PM UTC