Altcoin
Altcoins to Bottom in Early Summer Ahead of Bull Run — Analyst — TradingView News
Bitcoin aside, market analysts say the cryptocurrency market could bottom in June, marking the start of the next altcoin bull cycle.
Altcoin Bottom May Occur in June – Analyst
Based on historical chart patterns, altcoins could be set to find their local price bottom around early June, according to popular crypto analyst Rekt Capital, who wrote in a May 8 X post:
“Altcoins are following the plan perfectly. Altcoins hit bottom in early February. Altcoins sold off during the BTC Halving. Altcoins hit bottom in early summer.”
Cointelegraph
The altcoin market has taken a hit over the past month. The market capitalization of altcoins, excluding the 10 largest cryptocurrencies, fell more than 21% in the previous month to $265 billion.
Despite the monthly plunge, altcoin market capitalization is still growing by more than 24% year to date (YTD) and by more than 167% over the past year.
Altcoin sentiment has historically correlated with Bitcoin 
“There is a possibility that they may hit local bottom by June due to lack of sufficient new liquidity from Bitcoin ETFs in the US and Hong Kong. This indicates that the consolidation period may be prolonged.”
Related: Has the price of XRP just bottomed out compared to Bitcoin?
Bitcoin Breakout Will Trigger Altcoin Bull Cycle – Nansen
While we see a potential local bottom, an altcoin bull run would first require the price of Bitcoin to rally, according to Aurelie Barthere, principal research analyst at Nansen, who told Cointelegraph:
“Altcoins are high beta cryptocurrencies, they succeed when sentiment is very bullish. Sentiment among cryptocurrency investors has been less exuberant since mid-March. As BTC price consolidates around the 20-day exponential moving average, there is more volatility in the alts. We need a breakout above levels and a clear resumption of the BTC uptrend for alts to outperform.”
BTC price has been making lower highs since mid-March. However, many analysts argue that this is a healthy period of consolidation after the halving. Furthermore, charts suggest that a multi-month bull flag will take shape to reach new all-time highs later in 2024. 
Since altcoin sentiment is highly correlated with the price of Bitcoin, finding a local bottom wouldn’t necessarily result in an altcoin rally, Qubic Labs’ Onufriychuk wrote:
“Even if altcoins bottom around June, that doesn’t necessarily mean a bull run will begin. More fundamental changes, such as increased institutional and retail investment and favorable regulatory developments, are needed for a significant turnaround, given the scarcity of new liquidity and heavy reliance on institutional reinvestment in newer projects.”
On the monthly chart, 10 out of 12 moving averages (MAs) show a buy signal for major altcoins, such as Ether (ETH), which has been struggling. Moving average indicators are commonly used in technical analysis to determine the average price of the underlying asset in relation to a given period.
Altcoin prices could also rise due to the M2 money supply, which turned positive year-over-year for the first time since November 2023, signaling that investors may soon start looking for inflation hedges or alternative investments.
The M2 money supply estimates all cash and short-term bank deposits in the United States.
As the money supply in the world’s largest economy increases, some of the new supply could end up in altcoins and memecoins, contributing to the onset of “altszn.”
Related: Bitcoin distribution ‘danger zone’ is over, analysts say
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