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Van de Poppe's Altcoin Picks: Hyperliquid, Wormhole, Renzo; Skip Optimism
Crypto analyst Michaël van de Poppe admits rotating altcoins too early. His revised strategy: hold cash, buy dips, and focus on Hyperliquid, Wormhole, and Renzo while avoiding Optimism.
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Crypto analyst Michaël van de Poppe admitted this week that he rotated funds between altcoins too early during the recent volatility. The mistake is instructive. Most altcoins lack independent demand. They move alongside Bitcoin, and when BTC slows or corrects, many fall much harder. Van de Poppe now prefers a more patient and selective approach while Bitcoin remains near local highs.
The admission matters because altcoin correlation is running at extreme levels. Van de Poppe estimates that a 3–4% drop in Bitcoin (BTC) could send many alts down 15–25%. Most tokens lack independent demand; they ride BTC's coattails on the way up and fall faster when the leader stalls.
Van de Poppe's Rotation Mistake
The Timing Error
Van de Poppe said he rotated part of his Renzo (REZ) position into Wormhole (W) around the $0.0160 region during last week's sell-off. He later admitted the timing was aggressive. Renzo had already rallied roughly 150% from its lows, and Wormhole was still searching for a floor.
Key insight: In a high-correlation market, rotating from one altcoin to another does not reduce drawdown risk. It just changes which name is underwater. The correct hedge is to reduce exposure to the group altogether until Bitcoin establishes a clear next direction.
Correlation Trap
Van de Poppe noted that altcoins continue moving in lockstep with Bitcoin. When BTC slows or corrects, alts fall disproportionately. The mechanism is simple: most altcoins are traded by the same cohort of speculative retail and momentum funds. They exit everything at once when Bitcoin wobbles.
Practical rule: When portfolio correlation across altcoins exceeds 0.8, picking winners is less important than managing total position size. The best trade is often no trade.
Three Altcoins on the Watchlist
Hyperliquid: Lower Correlation Play
Van de Poppe pointed to Hyperliquid as one of the stronger opportunities because its market behaviour diverges from Bitcoin. HYPE offers a different return stream, reducing portfolio correlation. That makes it more attractive for positioning during volatile conditions.
Unlike tokens that simply track BTC beta, Hyperliquid's network activity and derivatives volume provide a distinct catalyst set. The analyst did not specify a price target. He emphasised that assets with low BTC correlation can survive a Bitcoin correction better than the average alt.