As the bearish market continues, Altcoins have followed Bitcoins. Last week, after falling to its lowest price since December 2020, bitcoin is now back above the $20,000 level.
At the time of writing, most of the top 10 coins are trading in the green, with Ethereum, BNB and Cardano registering gains of over 7%. Solana and Polkadot have posted gains of over 11 per cent.
5% crypto projects to survive?
According to a prominent cryptocurrency analyst, only a handful of cryptocurrencies will survive the bear market and rally in the coming years. According to Altcoin Sherpa, a pseudonymous expert, around 5% of altcoin projects will survive the current crypto winter.
Smart contract platform Solana, blockchain scaling solution Polygon (MATIC), and blockchain-based video game Axie Infinity (AXS) are among projects that analysts believe will outpace the competition.
In a bear market, it is almost always a bad idea to use altcoins as a portfolio diversifier. Everything will fall into place the same way – good projects, terrible projects, and so on. Following the BTC bottoms, he estimates 5% of projects will make it to life and rally well for years.
According to Sherpa, many projects will disappear forever, so he only believes in trading bitcoin and ethereum for the time being. When it comes to bitcoin, analyst It is warned that a break above the $18,000 support could trigger a fresh selloff.
“Bad projects will continue to dump and die / be dead forever. The good ones will remain overall. I don’t really see many that I like and instead I will just play BTC and ETH for now. If you look long term Looking to buy stuff up for hold, I’ll look at projects that are around…”