Bitcoin’s 4th Halving Triggers Short-Squeeze: Altcoins And Memecoins Rally

Despite Bitcoin’s fourth halving, the crypto industry remains cautiously bullish, with market participants seeing potential opportunities in both Bitcoin (BTC) and alternative cryptocurrencies (altcoins). I’m looking for it. The recent BTC halving, which completed on April 19th, has sparked a discussion about the outlook for future market trends and trade strategies, according to BTC. QCP report.

Historically, each previous halving resulted in a significant increase in the spot price of BTC. However, there has been little price movement since this halving, leading to speculation about its near-term prospects. Analysts say a short squeeze involving memecoins and altcoins, which are characterized by persistent negative funding rates, could be imminent. It is worth noting that there are several altcoins whose funding rates have fallen to -100%.

Ethereum (ETH), the second-largest cryptocurrency by market capitalization, is also showing signs of improvement in speculative sentiment, with risk reversal becoming normalized. This development could trigger a resurgence of short covering and leveraged long positions in the market.

In light of these trends, traders are evaluating various trading ideas to take advantage of potential market movements. According to QCP, one of the strategies is to maintain a structurally bullish outlook on BTC by taking long-term call options. Options such as ERKO December 27, 2024 and ERKO March 28, 2025 offer an attractive risk-reward profile for those who view BTC’s price trajectory as bullish over the long term.

Experts recommend a strategic approach to steadily gain positions in Bitcoin over the coming weeks, specifically targeting the price range around $55,000 in anticipation of the expected exponential price rise after the halving. is suggesting. Financial instruments like the BTC Accumulator, which expires in September 2024, offer the opportunity to establish long positions at discounted rates while incorporating predefined limits on potential profit realization.

Overcoming altcoin highs amid Bitcoin rebound

Meanwhile, the altcoin market is seeing renewed interest with Bitcoin’s rise above the $67,000 threshold.Santimento’s analysis We highlight substantive discussions revolving around specific tokens such as POPCAT and AMP. His POPCAT, a meme coin, experienced an astonishing 41% surge in market capitalization within 24 hours, comparable to established coins such as WIF and DOGE.

However, caution is being exercised due to potential correction risks amid growing concerns about missing out (FOMO). On the other hand, AMP trading volume is increasing. However, its scalability and impact on financial markets are under discussion. Sentiment is neutral, but if Bitcoin continues to rise, AMP can also be viewed as a potential stock to buy based on market cap.

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