A prominent economist believes that the current bull market for Bitcoin (BTC) and cryptocurrencies still has potential for further growth. Alex Krüger, who has a following of 205,000 on the social media platform X, stated that crypto investors are feeling disappointed because the current market cycle seems different from past cycles in terms of duration and upward movement. However, Krüger argues that investors should take a broader perspective, as he believes that crypto is currently in a supercycle.

Krüger suggests that BTC is currently trading within a range, but he expects it to eventually break out to the upside. He maintains that the supercycle theory remains valid. While this theory applies to Bitcoin and cryptocurrencies as a whole (excluding BTC and stablecoins, the market cap is significantly higher), most older altcoins do not benefit from it consistently.

Krüger cautions against expecting a significant increase in liquidity that drives all cryptocurrencies higher for an extended period of time. He advises investors to be selective in their choices. He emphasizes that a supercycle does not imply that Bitcoin will continuously rise without experiencing painful pullbacks. He notes that Bitcoin’s price movements are in line with equities, but the drawdowns are smaller, around 40% instead of 80% to 90%.

Regarding Solana (SOL), Krüger refers to it as the “fastest horse,” but he warns that the altcoin will face significant unlockings in the next two months, which means that more supply will enter the market.

As for Ethereum (ETH), Krüger believes that the leading layer-1 protocol needs a boost to initiate bullish momentum. He suggests that increased value capture from layer-2 solutions and the introduction of more successful applications could help achieve this.

Looking at the broader altcoin market, Krüger predicts the emergence of a new altseason, although it may not be as explosive as previous rallies. He notes that the current positioning and sentiment are negative, and the timing is uncertain without clear catalysts. However, he believes that a new altseason could occur unexpectedly.

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