Blockstream CEO Warns of 90% Altcoin Crash, Recommends Bitcoin and Treasury Stocks

Blockstream CEO and renowned cypherpunk Adam Back has issued a stark warning to cryptocurrency investors, predicting that altcoin prices could plunge by up to 90%. Back, who was cited by Satoshi Nakamoto in the original Bitcoin white paper, continues to express strong skepticism toward alternative cryptocurrencies and crypto index ETFs.

In his latest remarks, Back advised investors to focus on Bitcoin (BTC) or stocks of companies with Bitcoin holdings, often referred to as Bitcoin treasury stocks. He argues these options are more secure than holding speculative altcoins, emphasizing that publicly traded companies offering Bitcoin exposure are subject to regulatory oversight, financial disclosures, and audits. This regulatory clarity, he claims, gives them a fundamental valuation advantage rooted in Bitcoin’s net asset value (NAV).

Back also criticized cryptocurrency ETFs that track a wide range of digital assets, noting their lack of transparency and exposure to underperforming tokens. He pointed out that Bitcoin-focused stocks now represent the new form of “alt season” for speculative traders, offering higher confidence due to their structured financial governance.

Data from the Altcoin Season Index currently shows a reading of 12 out of 100, indicating that altcoins are significantly underperforming Bitcoin. For an actual altcoin season to be declared, 75% of the top 50 cryptocurrencies would need to outperform Bitcoin over a 90-day period—a condition far from being met.

Major altcoins like Ethereum (ETH) and XRP have posted double-digit losses recently, further supporting Back’s bearish stance. With no altcoin rebound in sight, his message to investors is clear: stick with Bitcoin or regulated companies that hold it.