Despite bitcoin (BTC) being the focus of most financial institutions that are dipping their toe in crypto, the altcoin market is where the action really happens, according to a head trader at New York-based crypto trading firm GSR.
Speaking with Bloomberg Radio, Richard Rosenblum, Co-founder and Co-head of trading at GSR, said that he believes there is a “mini altcoin boom” going on in the crypto market at the moment. In addition, he also said that many institutional investors are missing out on the boom simply because they are too focused on bitcoin.
“Even though on a broad scale, you could say the market believes more in bitcoin, and is not as focused on altcoins, if you take a smaller snapshot such as this week, bitcoin has rallied a few percent […] adding roughly 10 billion in market value, but if you take two other cryptos that are in the top 15, they’ve added over 20 billion of market value and rallied, in these three days alone, between 15% and 40%,” the trader said.
He went on to explain that altcoins in his view really don’t get the attention they deserve, saying that “there’s a lot of action in the space that doesn’t get as much focus as it should.”
“If you’re looking at bitcoin prices and seeing them up or down a percent per day, you’re missing that there are other assets that are up 35% in a single day,” Rosenblum further said, adding that his firm now does more business in the altcoin space than it does in bitcoin.
“I think that’s really the story of this week,” the head trader said.
Adding a word of caution, however, Rosenblum also said that he is fully aware that most smaller projects in the crypto space “are not going to succeed in the end,” but there will still be a handful of projects left “that can remain leaders in the space and be a good place to invest for the future.”
“If you look at the 3,000 different ICOs [initial coin offerings], I’m sure that the bulk of them aren’t going to succeed, just like any group of 3,000 tech companies that are brand new,” Rosenblum said, adding that it’s enough if “a hundred powerhouses” out of those 3,000 goes on to change the global ecosystem around crypto.Top 20 cryptoassets by market capitalization
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