SEC has delayed its decision on Ethereum ETF until July 5, 2024, raising doubts about approval in May. Ethereum remains weak against Bitcoin, with analyst Michael van de Poppe foreseeing further lows. Bitcoin is anticipated to consolidate post-halving for 4-6 months, indicating an accumulation phase.
Crypto analyst Michael van de Pop shares insights on Ethereum’s path and the overall crypto market as prices decline. Despite early hope, investors using the buy-and-hold approach are facing reduced profits.
1. Crypto Analyst Michael van de Pop’s Insights for May
Analyst Michael van de Pop warns of potential further declines for Ethereum (ETH), projecting a drop to the range of $2,500 to $2,750. This forecast reflects the prevailing market sentiment, influenced by broader economic factors and regulatory uncertainties. Over the past day, Ethereum has seen a 4% decrease, dipping below $2,910 once more, continuing a downward trend that has persisted for over a week, with ETH losing approximately 6% of its value recently.
Likely scenario:
– #Ethereum continues to fall to $2,500-2,750 area.
– Delay on the Spot Ethereum ETF.
– $ETH / BTC to new lows.
– Rotation after delay in 2 weeks.
– #Altcoins to surge in Q3.
– #Bitcoin to continue consolidating in the range for the coming 4-6 months.— Michaël van de Poppe (@CryptoMichNL) May 10, 2024
2. ETF Approval Delays and Market Uncertainty
The approval process for an Ethereum spot exchange-traded fund (ETF) faces significant obstacles, unlike the SEC’s approach to Bitcoin ETFs. The postponement of a decision on the Invesco Galaxy Ethereum ETF until July 5, 2024, by the Securities and Exchange Commission (SEC) adds to the uncertainty surrounding Ethereum’s regulatory environment. Van de Pop suggests that this delay might further depress Ethereum’s price in the near term, exacerbating its challenges.
3. Ethereum’s Struggle Against Bitcoin and Potential Altcoin Momentum
Despite Ethereum’s efforts, its performance against Bitcoin (ETH/BTC) continues to falter, showing consistent weakness both in recent days and over longer periods. Analyst Michael van de Pop predicts further declines for ETH/BTC, highlighting Ethereum’s ongoing challenge to match Bitcoin’s momentum.
However, despite these challenges, van de Pop remains hopeful about a potential market shift after the ETF delay. This transition might favor altcoins in the third quarter of 2024, offering opportunities for expansion and diversification within investment portfolios.
4. Bitcoin’s Consolidation Phase and Accumulation Period
According to analyst Michael van de Pop, Bitcoin (BTC) is poised for a period of consolidation, with expectations of remaining within a defined price range for the next 4-6 months. Historically, Bitcoin has often entered a sideways market phase post-halving, signaling an accumulation period. This trend, observed in previous halvings, prompts investors to accumulate Bitcoin during price stability, preparing for future price increases.
5. Long-Term Bullish Trajectories and Cyclical Market Trends
While short-term corrections persist, analysts like Michael van de Poppe foresee bullish trajectories in the long run, emphasizing the cyclical nature of crypto market trends. Despite current challenges, the historical pattern of Bitcoin’s post-halving accumulation phase suggests potential opportunities for investors to accumulate assets in anticipation of future price surges.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
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