Markets
Most Undervalued Altcoins With Huge Recovery Potential
The presenter/analyst ‘The House of Cryptography’ watched your latest video and explained how markets are structured to encourage retail investors to make bad decisions. Typically, after a bear market, the market enters a depression phase where investors think everything is over. Then, hope and enthusiasm are rebuilt, as seen at the end of last year and at the beginning of this year. However, a phase of shock often follows, causing many to lose hope again. It is right after this shock that the greatest opportunities arise.
He emphasizes not to buy coins that have already pumped a lot. Instead, he said to focus on those that are currently undervalued and have good long-term potential. For example, coins such as Avalanche, Fetch ai and Akash Network, which have fallen substantially, now present good buying opportunities.
He warned against seeking quick riches by investing in hyped coins like Brett and Jasmy, which are already in a high-risk, high-reward phase. Instead, he advised looking for currencies that have fallen out of favor and are now in recession, as they often present better buying opportunities.
Potential buy zones, patterns and pullbacks
As an example, he discussed Beam and how it has taken a significant hit of 58% since its peak around March 11th, coinciding with Bitcoins initial maximum of the year. This dip presents a potentially attractive entry point for those looking to capitalize on future uptrends.
He spoke about market volatility, highlighting that currencies like Pyth Network had seen great enthusiasm, with a 19x increase in value followed by a sharp 71% decline. Despite the initial excitement, interest waned as the price fell sharply.
To identify potential buy zones for these coins, he recommended looking for large price pullbacks where previous large green candles occurred. These areas often indicate strong support levels where buying interest may return. For example, Pyth fell into one of these buy zones after its drastic fall.
He once again warned against chasing the latest hyped coins everyone is talking about, as they often come with higher risks and inflated prices. Instead, he advised focusing on projects that have been neglected or fallen out of favor despite their potential, such as those in the AI and gaming sectors.
Read too: Bitcoin Price Prediction: How Far Can BTC Price Fall in This Crypto Market Crisis