Bitcoin Struggling But 'Perfect Storm' Will Take It To $500,000, Ethereum To $20,000, Trader Predicts

Crypto analyst Michaёl van de Poppe urges investors to hold their crypto assets, emphasizing that Bitcoin BTC/USD is fairly valued while altcoins remain heavily undervalued.

What Happened: Van de Poppe highlighted on Wednesday on X that the crypto market is currently experiencing one of the most extreme bearish sentiments in its history, following a prolonged period of capitulation.

Many altcoin investors have suffered major losses over the past 6-12 months, but he believes the tide is turning.

Despite market skepticism, Bitcoin breaking past $150,000 is a realistic scenario, with many underestimating the potential for exponential growth.

The fear of diminishing returns, a mindset shaped by previous bear markets, has caused many to doubt Bitcoin's long-term upside.

However, there are strong bullish tailwinds, particularly relating government adoption of Bitcoin, such as:

• Discussions on adding BTC to national reserves
• Institutional capital flowing into crypto
• Banks integrating Bitcoin custody solutions

Van de Poppe draws comparisons to past market booms, such as the Dotcom bubble (1995-1999) and the 2017 crypto cycle, where Bitcoin hit $20,000 and Ethereum ETH/USD peaked at $1,400.

This time, he predicts a longer, more extended bull cycle that could propel BTC to $300,000-$500,000 this year, with a potential $1 million target in the coming years.

Also Read: Bitcoin To Reach $500,000 Before Trump Leaves Office: Standard Chartered

What's Next: As the global macro landscape shifts, especially with China's evolving policies, altcoins are poised for significant growth.

Van de Poppe argues that the market remains deeply undervalued, and many traders stuck in "bear market PTSD" risk missing out on what could be the final, massive bull run of this cycle.

Additionally, decentralized finance (DeFi) is becoming more integrated with traditional banking, with financial institutions leveraging DeFi platforms to offer higher yields.

This could further accelerate mainstream crypto adoption.

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