Crypto Success 2024: Asymmetric Returns In Altcoin Markets

Cryptocurrency investing is typically associated with Bitcoin and Ethereum. Yet, seasoned investors know that the real treasures often lie beyond these two crypto giants. This article discusses crypto success in 2024, where the stage is set for some altcoins to outperform.

As Bitcoin and Ethereum lay the groundwork, strategic moves into carefully chosen altcoins could yield extraordinary returns. Let’s explore how the dynamics of the crypto market are creating an environment ripe for asymmetric returns.

BTC + ETH leading the way

Crypto bull markets often begin with Bitcoin and Ethereum, the two largest players that initiate a bull run. The initial surge creates bullish momentum in crypto markets, however most tokens do not tend to follow. Typically, large cap tokens tend lead, say the happy few, while the ‘long tail’ is overall calm.

Seasoned investors recognize that this is just the overture. What follows is a fascinating phenomenon – the rotation of profits from these large-cap tokens to the more agile and promising altcoins.

As Bitcoin and Ethereum lead the charge, a careful observer can anticipate the inevitable rotation into the altcoins.

In other words, we may be very bullish on large cap cryptocurrencies, as evidenced by our Ethereum to $10,000 prediction, but we are much, much more bullish specific altcoins. That’s why we don’t believe that the largest altcoins will outperform.

Yes, we agree with this viewpoint:

#Bitcoin is likely consolidating from here, between $37-48K for the coming months. In this period, #Altcoins will have their time.
The real impact on the ETF is going to come in the next few years, resulting into a price of Bitcoin going to $300,000-500,000. pic.twitter.com/i3NRjxYu5g
— Michaël van de Poppe January 27, 2024

Altcoin markets ready for a secular breakout

We explained it in our altcoins ready for alt season 2024 article: the total market cap excluding BTC and ETH is the one and only indicator that really matters for the alt season to start.

The chart pattern of the alt market is very interesting, to say the least.

Back in the winter of 2020/2021, the altcoin market went in overdrive after a triple top breakout. This time around, however, we see a very different shape emerging. The sell-off in crypto markets in the last 18 months created a rounded structure below the $500 billion mark.

If we zoom in, we can see how the altcoin market is trying to stage a breakout. The shape of this structure leads us to the conclusion that THIS TIME IS DIFFERENT, when compared to 2020/2021. It will be a bi-furcated alt season 2024. This implies asymmetric results among tokens and crypto investors.

In a way, we agree with this chart finding which we picked up on X:

#Altcoins
Friendly Reminder that the Gaussian channel for Altcoins has finally changed to green. ✅
As said last time: “A bit of correction first, then let’s go.”
In 2016 and 2020, the green channel gave the ultimate go signal for Altcoins. pic.twitter.com/nRlJZ47akT
— @el_crypto_prof January 23, 2024

The art of selectivity in altcoin markets

Unlike the winter of 2020/2021, where a rising tide lifted all altcoins, 2024 demands a very different approach. The altcoin landscape is diverse, with projects spanning various niches and functionalities.

The key to thriving in this landscape is selectivity. The path to success is narrower, demanding a judicious evaluation of projects. This time is indeed different. It’s not merely about investing in any altcoin; it’s about identifying the hidden gems, the projects with distinctive value propositions and strong fundamentals.

The fine line between success and extraordinary success requires a keen understanding of the altcoin’s utility, its place in the evolving crypto ecosystem, and the team’s commitment to innovation. The 2024 altcoin market is a realm of strategic choices, where careful selection is the compass navigating the investor through potential pitfalls.

One thing we certainly advise against is picking altcoins based on social confirmation or social investing. The ‘ideas’ that are posted here simply will not work. Similarly, while the post shown below has the right question to ask, we don’t believe this is the appropriate source to find an answer.

I will buy 3 #Altcoins with my $30k USDT.
What should I buy? pic.twitter.com/ofo56USByZ
— Crypto Rover January 26, 2024

Hidden gems in 2024

Beyond the mainstream narrative, hidden gems await discovery. These are the projects that operate below the radar but harbor the potential for exponential growth. The challenge for investors is to unveil these gems, a task made complex by the volume of projects in the crypto sphere.

We mentioned our bullish Stacks stance, and why it paid off to be following our premium crypto research alerts: we tipped Stacks at $0.55, now trading at $1.55.

However, what we can learn from our Stacks forecast is that we know how to hit multi-baggers.

In our premium research service, we select altcoins that are ready for prime time. Moreover, we try to time the big surge. This has worked very, very well in 2023, as evidenced by many multi-bagger hits.

The challenge for crypto market investors in 2024 will be to hit asymmetric returns. This will be our focus in 2024, we are well aware of this and have organized around it.

You might to want to check out our hidden gem tips: our latest AI 2.0 token tip combined with this big data token. Premium members receive actionable guidance, above all we will flash ‘take profit’ guidance (which is what 99.99% of crypto investors forget in their excitement when a token is rising, they tend to appreciate ‘taking profits’ when their token that created excitement will be down 50% or more which is consistently way too late).