Ki Young Joo (Ki Young Ju) stated that the current rally of the first cryptocurrency is primarily due to the demand of institutional investors:
“Institutional investors do not intend to transfer their assets from Bitcoin to altcoins. Additionally, since they operate outside of cryptocurrency exchanges, asset rotation becomes inherently less possible. While institutions may invest in large altcoins through investment vehicles, they expect higher returns from Bitcoin.”
In the medium term, altcoins can achieve high market capitalization, but this will require a significant influx of fresh capital to cryptocurrency trading platforms, the CEO of CryptoQuant is sure:
“Altcoins should focus on developing independent strategies to attract new capital rather than relying on Bitcoin’s momentum.”
If the interest of retail investors in this asset class is restored, then we should expect a rapid start to the altcoin season, the analyst concluded.
Earlier, Ki Young Ju admitted the fallacy of his previous forecast about the depreciation of Bitcoin. In his opinion, by the end of the year the price of the first cryptocurrency could reach $112,000.
Source: Bits
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