Bitcoin performed well in the last months, but when can we expect the profits gained by investors to flow into other assets as well? According to one crypto expert on Twitter, we will soon see money flowing into ‘first movers’ such as DOT, ADA, ATOM, and ETH. Some of them have already pumped in the past days, which might indicate that mid and small caps are next on the list.
With 93,000 followers, Micahel Van de Poppe (@CryptoMichNL) represents one of the most famous individuals on Crypto Twitter.
The full-time trader from the Amsterdam Stock Exchange is famous for his technical analysis, but this time Michael has decided to talk about a fundamental feature that indicates which types of crypto assets might move next.
In his latest Twitter post, Michael revealed that large caps will be the first cryptocurrencies to move. He characterized DOT, ADA, ATOM, and ETH as being the first movers that will powerfully increase in price.
Some of these tokens have already moved in the past couple of days. As a matter of fact, DOT reached a new all-time high while ETH is about to battle out a monthly resistance from 2018.
ATOM and ADA have both jumped in price. However, they are nowhere close to DOT’s price action. Nevertheless, holders of both assets can still expect their portfolio to increase as the altcoin market begins to grow.
Michael advises the community to focus on these first movers first. But after large caps (projects with high market capitalization) get exhausted, investors should take a look at mid-caps and small-caps. The crypto expert refers to this flow of profits as ‘the money cycle.’
Altcoins already moved alongside Bitcoin
The money cycle is in fact a real and factual concept that repeatedly occurs in the cryptocurrency market. After every single large move that Bitcoin experiences, investors usually see realized profits moving to other projects.
Whales and other big holders tend to reinvest their profits in other projects as soon as they get out of their initial investment.
However, these sparks and flashes of altcoin growth are usually short-lived. While we may see altcoins increase in value in the near future, they will certainly not hold onto their newly gained prices as Bitcoin does.
According to market data from CoinGecko, plenty of projects have moved in the past 24 hours. These projects include various large-cap and mid-cap cryptocurrencies such as CEL, DOT, XRP, ATOM, and many others.
CEL and DOT have, for example, increased by 15.3% and 10.9% respectively. Even XRP which recently collapsed has seen ‘gains’ in the past 24 hours by bouncing 9.4% from its recent lows.
DOT remains to be one of the best winners in the last week. The cryptocurrency increased by 40% in the past seven days and even managed to establish a new price record.
As Defiye reported earlier the token has entered a new price discovery area after reaching an ATH of $7.69. DOT now rests between two important price levels. Investors still have to decide whether they will push the token more or if they will take their profits.