An analyst who accurately predicted the market collapse of 2022 suggests that a significant black swan event could severely impact altcoins ahead of the US election. In a message to his 105,000 followers on his Telegram channel, the pseudonymous crypto analyst Capo indicates that OTHERS, which monitors the market cap of all crypto assets excluding stablecoins and the top 10 ranked coins, might experience a substantial decline during the election period.

Capo does not specify what the black swan event might entail but mentions it will likely offer an optimal buying opportunity.

“Quick update:
As previously mentioned, several factors could lead to a black swan event before the US election, potentially resulting in an average 35% drop for altcoins. This means that large caps could see a 25-35% decrease, while smaller caps could plummet by 40-60%.

Once again, this could be the final shakeout before a true altseason begins. So, if it occurs, just be prepared and do not panic.

Stay safe.”


Source:
Capo/Telegram

In a subsequent Telegram post, Capo notes that the likelihood of such an event has increased, and he is taking precautions by reducing some of his altcoin investments.

“The probability of this scenario has just risen.
I’ve sold some altcoins to lessen my market exposure, even though I was already hedged.

Should this scenario not unfold, re-entering positions later won’t be a problem. However, we cannot overlook the data – the market is currently showing significant weakness.”
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