A prominent figure in the crypto space revealed he has sold all his Bitcoin (BTC) holdings in favor of Altcoins. In an X post, the market expert claimed to still have faith in the flagship cryptocurrency and explained what he did and the reasons why.
Expert Takes A Risk To Get More Bitcoin
On Thursday, renowned crypto analyst Michaël van de Poppe announced to his X followers that he had sold all his Bitcoin holdings. He prefaced his explanation by stating that he had not lost his faith in BTC.
The expert explained he is not expecting the largest cryptocurrency by market capitalization to be “topped out for this cycle.” Additionally, he clarified that he has not become a “complete believer in gold.”
Van de Poppe’s annoucement. Source: Michael van de Poppe on X
Van de Poppe’s goal is to buy back more Bitcoin later in the year since “It’s a bull cycle; we can’t deny that.” However, he explains that the simplicity of the four-year cycle and the impact of “Halving” events will reduce over time as Bitcoin becomes a mature asset worldwide and institutions prioritize “risk appetite in their portfolios.”
According to the analyst, “It’s all about risk,” and institutions will de-risk when liquidity dries up. As a result, this cycle may be the final “easy” cycle to make big profits through altcoins.
He asserted that he must take a risk as a 31-year-old entrepreneur who has been surviving several bull and bear markets since 2017. To obtain more Bitcoin, van de Poppe decided to trade Altcoins within the Web 3.0 ecosystem, which he considers the riskiest path:
“I know the tides, and I know that to get a large return, you’ll need to get more knowledge and dare to take the risk against all odds and sentiment. That’s where I fancy it the most and where I’ve had periods when things went south. Can’t deny that.”
Altcoins Poised For Big Returns
Further explaining why he chose this path to earn back his Bitcoin, the analyst stated that “altcoins have been crushed unreasonably hard” during this cycle. Due to this, van de Poppe is considering several events that could make or break his bet on altcoins.
First, he listed the slim chances of an Ethereum (ETH) spot Exchange-Traded Fund (ETH) being approved alongside the Securities and Exchange Commission (SEC)’s crackdown on ETH. The clarification on the status of the second-largest cryptocurrency could “make a significant U-turn.”
Second, the results of the US House of Representatives vote regarding the FIT21 bill could provide a clearer regulatory framework for the crypto industry in the US. Lastly, the outcome of the XRP lawsuit, which he believes will result in the asset not being classified as a security, could also positively affect the market.
Van de Poppe stated that the upside of his bet cannot be denied. Nonetheless, he recognizes that the downside is relatively huge. The expert explained he’s currently 20% down on the overall investment in two weeks, claiming that he’ll be fine with the possibility of losing 50-80% of his investment.
For the analyst, the chances of making a 300-900% return in the coming 6 to 12 months outweigh the risks. With the possibility of earning between 900% and 4500% in the next one to two years, van de Poppe is “happily allocating entirely towards altcoins.” He closed his post optimistically stating, “The bull cycle will be glorious.”
Bitcoin is trading at $66,340 in the monthly chart. Source: BTCUSDT on TradingView
Featured Image from Unsplash.com, Chart from TradingView.com
