Experienced crypto analyst and trader DonAlt has revealed that he no longer expects a significant rise in Bitcoin (BTC) price. The analyst warns investors about the dangerous state of the Bitcoin and altcoin markets.
“Market Has Become Dangerous”
An anonymous crypto analyst known as DonAlt suggests that the recent application made by asset management company BlackRock to the U.S. Securities and Exchange Commission (SEC) for a spot Ethereum (ETH) exchange-traded fund (ETF) could have a negative impact on Bitcoin’s price in the future.
According to the analyst, BlackRock’s application for a spot ETF for Ethereum could potentially dampen the interest in BTC and alter the balance of the similar buyer base between BTC and ETH. The analyst states that this situation makes the market more uncertain and dangerous, saying:
Spot Ethereum ETF will steal from BTC and transform ETH from being one of the worst coins to one of the best investments. This makes me less bullish on BTC and less bearish on ETH.
Nevertheless, I can say that this is generally negative. BTC and ETH have a very similar buyer base. Having a clear narrative for one without the other means that the market has become dangerous, in my opinion.
Switching from Bitcoin to Ethereum
DonAlt, who announced last month that he opened a long position in Bitcoin, reveals that he closed a significant portion of the trade with a profit of around 40% and opened a long position in ETH, which he sees as potentially more promising. He states:
I opened a long position in BTC at $27,000 and sold a large portion at $37,500. I opened a much smaller long position in ETH. Although BTC is starting to struggle according to recent news, I believe it will perform slightly better.
