Analyst Crypto Bunter recently opened up about the current state of altcoins and memecoins, urging investors to adopt a cautious and strategic approach during times of market volatility. In a recent segment, Crypto Bunter explained the importance of not simply following the herd mentality of buying the asset that recovers the fastest.
Altcoin warning: Don’t get carried away by the hype!
Crypto Banter predicts continued market volatility for the foreseeable future and warns against the assumption that crypto markets will soon return to all-time highs. First, he advised against blindly following assets that rebound quickly without considering the extent of the price decline. Instead, he suggested looking at both price and percentage decline from peak to gauge relative strength.
For example, a token like Rune fell 62.57% but may have only recovered 31%, indicating that it may be undervalued despite a net loss of 50%. Masu. This approach helps investors identify tokens with true resilience and long-term potential, rather than tokens that simply rebound quickly without strong fundamentals.
He cited Ando as an example. It has fallen 46% since its peak, but has recovered slightly and is currently down 6.67%. This shows which tokens are strong and which are recovering quickly. He also mentioned the acquisition of Telegram (TON), which fell only 9%, suggesting it could be a driver of the next cycle.
Analysts also discussed Celestia and presented a framework that focuses on two key aspects. First, it is important to evaluate how the token has performed since its peak. Celestia, for example, plummeted from $22 to $6, a staggering 65% drop. Although it has recovered by 30%, it is still 52% below its peak.
This explains the importance of looking for resilient, high-quality, yet affordable tokens. Tokens such as Rune and Arweave fit this criteria, offering substantial value despite price declines of 41% and 40%, respectively.
