Will you Sell Alts?

We are at a sort of crossroads in the crypto markets. While BTC and ETH are still performing well on a year-to-date chart, many altcoins which were well loved in 2021 are crashing down to multi-year lows. And perhaps for good reason. In addition to interest rates being high in the US, the SEC is also cracking down on some of the 2021 darlings like SOL and ADA. Which means that in addition to there being low liquidity in the markets, there may be also be legal implications for holding some of these coins.

As far as chart performance goes, we are currently hanging onto multi-year zones of support. Most notably, the lowest prices we faced following the FTX collapse in 2022. A time when there was widespread fear and panic surrounding crypto in general, and many chose to get out before everything potentially went to 0. Although most projects not only didn't go 0, but had a strong recovery for the first half of 2023.

However, since that recovery, we have formed a Christmas-tree shaped dive right back down to the same lows. If people are strong in their conviction and keep holding, we may see a bounce from this support region, and a move up. But if not, then new lows are potentially on the table. And with the announcement of more interest rates and increased crackdowns against crypto from the SEC, it wouldn't be too surprising if prices continued downwards.

Now I know most people will continue to DCA into BTC and ETH, as they have a long history and are leagues ahead of the other coins in terms of adoption and trust. But is it worth it to be holding alts when they continue going down, even though there isn't the same amount of history and trust in them? All the while the economy is in shambles and the US government is cracking down on popular proof of stake coins?