- Alex Krüger believes Ethereum will hit new highs because of its usefulness and the advantages of staking, despite its present losses.
- Krüger rejects the idea of a cycle peak and emphasizes the market’s possible resilience, viewing Bitcoin’s recent decline as a bullish indicator.
Famous economist and trader Alex Krüger has garnered media attention once more for his latest Ethereum forecasts and insights into the dynamics of the broader cryptocurrency market.
I fully expect $ETH to trade ATH. I am long $ETH. I use $ETH. It is useful. It is decent collateral and great for staking. $ETH undeperforms though. Those not using it for staking are down bad. The reason is simple. Most people in crypto already own too much $ETH. I've been…
— Alex Krüger (@krugermacro) April 15, 2024
Ethereum’s Prediction: Upcoming Record Highs
Alex Krüger believes that Ethereum’s adoption in the cryptocurrency market and inherent value will propel it to new all-time highs (ATHs), in line with what ETHNews previously disclosed.
Krüger is upbeat about ETH’s long-term prospects despite the current price dip, which has seen it fall by 5.24% in the last day to $3,088.26, according to CoinMarketCap, and 14.72% over the previous week.
While he acknowledges Ethereum’s short-term underperformance, he emphasizes the cryptocurrency’s use as collateral and the advantages of staking. Krüger attributes this underperformance to the market’s saturation with ETH holdings, which diminishes returns for non-staking investors.
Strategy for a Portfolio: Diversification In Recessions
Krüger cautions investors from adopting an expensive approach by becoming “maxis,” or cryptocurrency enthusiasts who maintain a significant amount of investment in only one coin.
He says it’s critical for anyone who are heavily involved in Ethereum, in particular, to rebalance their portfolio after market falls, like he did on April 13. The goal of this technique is to profit from relative performance as opposed to absolute profits.
Beyond Ethereum, Krüger offers commentary on the market dynamics of Bitcoin (BTC). Krüger sees recent price declines in Bitcoin as a good indication, despite the market instability that followed geopolitical concerns.
He refutes assertions that Bitcoin has achieved its cycle peak, arguing that the correction would have most certainly happened at considerably higher prices in the absence of outside forces like war. He says that the recent purge of the market has created a more favorable environment for future profits.
New Cryptocurrencies: Hunting for the “Faster Horses”
Following the market’s pullback, Krüger sees potential in other cryptocurrencies, referring to them as “faster horses” that may outperform in a bullish rebound.
He mentions Bitensor (TAO), Worldcoin (WLD), Arweave (AR), Toncoin (TON), Solana (SOL), and Arweave (AR) as particular examples of cryptocurrencies with a high potential for profit.