Prominent cryptocurrency trader Michael van de Poppe stunned the market after he revealed dumping all of his Bitcoin BTC/USD holdings in favor of altcoins.
What Happened: Known for sharing valuable inputs regarding cryptocurrency portfolios and picking the assets to invest, Van De Poppe disclosed in an X post, "I've sold all my Bitcoin."
The big decision was not motivated by the King Crypto's weak price action over the last month, rather Van De Poppe remarked, "I didn't lose my faith in Bitcoin, I'm not expecting Bitcoin to be topped out for this cycle. I've not become a complete believer in Gold.
Michael van de Poppe did not immediately respond to Benzinga's request for comment.
The analyst stated that he was taking the stance opposite to most traders in the market who have been rotating capital from altcoins to Bitcoin, betting on the latter's continued rise.
He emphasized that the ongoing cycle would be the last one to make money through altcoins, which he believed were due for an upside. As a result, he opted to acquire altcoins that were currently undervalued, so that when their prices jumps, he could use them to buy more Bitcoins.
However, the analyst added a caveat that downside risk was ‘huge' as he was already down 20% on the overall portfolio when he posted this on X.
Why It Matters: Bitcoin's dominance vis à vis the rest of the market has increased this year, rising from 50% at the beginning to 54.18% at the time of writing, according to CoinMarketCap
Bitcoin has largely benefitted from the launch of spot ETFs this year, while other assets like Ethereum ETH/USD have underperformed in comparison.
Another noted cryptocurrency analyst Kevin also noted substantial capital rotation from altcoins to Bitcoin in the current cycle
.
Price Action: At the time of writing, Bitcoin was exchanging hands at $66,333.56, up 0.05% in the last 24 hours, according to data from Benzinga Pro.
Read Next: Michael Saylor Says Wall Street And Congress Want Bitcoin – But What About Joe Biden
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