Crypto Market Crash Alert! Black Swan to Slash Altcoins by 60% This Election Week

As election week nears, the crypto market is preparing for potential surprises, often called “black swan” events. Crypto analyst CryptoCapo TG recently warned on Telegram that one of these rare, unpredictable events could happen just before the U.S. election, possibly leading to an average 35% price drop for altcoins.

CryptoCapo TG predicts that large-cap cryptocurrencies, like Ethereum, Binance Coin, and Solana, might see drops between 25% and 35%. Meanwhile, smaller-cap coins could face even sharper declines of 40% to 60%. He describes this potential downturn as a “final shakeout,” aimed at clearing out less confident investors before a possible altseason—when altcoins typically see substantial gains.

Are we heading towards a potential crypto downturn? Let’s dive in to know how it will impact the altcoins movement in the coming months. 

Ripple Execs Speak Out

Ripple CEO Brad Garlinghouse believes that the next black swan event in crypto could stem from a sudden, game-changing disruption that impacts the entire sector. His co-founder, Chris Larsen, suggests a liquidity crisis might trigger this, creating ripples across the market. Both leaders anticipate the next major event will catch the crypto world by surprise and reshape it in unexpected ways.

While CryptoCapo TG’s forecast is cautious, another analyst, Lana Queen, sees a silver lining. She suggests that current bearish sentiment could actually set the stage for new all-time highs (ATHs). With both Capo and Jim Cramer expressing negative views, she believes the market may be poised for a rally.

Strategies for Investors

In response to the uncertain outlook, CryptoCapo TG advises investors to be mentally prepared, diversify their holdings, and consider a HODL strategy for long-term gains. Staying informed about macroeconomic trends and global events is crucial, as these factors can heavily affect market sentiment. While there’s a real risk of a significant crypto downturn, it may also be an opportunity for investors to sharpen their strategies and get ready for an altseason ahead.

Could This Year’s Black Swan Event Favor Altcoins?

Looking at the current scenario and presidential candidates’ growing interest in crypto assets, there are changes that this year’s Black Swan event count turned positive for altcoins, as BTC dominance is still at 60%, which is favorable for altcoins.

What do you think? Will a Black Swan event trigger a crypto winter, or is this a buying opportunity? Share your thoughts.