Altcoin
Analyst reveals lowest prices in 3 years
Renowned cryptocurrency analyst Michael van de Poppe shared his insights in the X post that altcoins are trading at their lowest levels in three years. His analysis suggest that a massive altcoin bull run could be around the corner.
According to Van de Poppe, here are some of the factors that suggest an altcoin season could be possible. This week Federal Reserve Meeting which was indeed quite dovish has turned the market sentiment bearish. However, Treasury yields have fallen significantly, which shows that the market does not expect further interest rate hikes, but expects rates to be cut sooner than expected.
Van de Poppe also said that he expects more than one rate cut from the Fed and that all-time Treasury yields have been seen during many altcoin rallies. For example, until the end of October 2023, many altcoins jumped 5x-10x against Bitcoin before Bitcoin regained dominance.
Altcoins Show Bullish Potential
The cryptocurrency market could generally be considered to be in a bearish state over the past three years, but there have been occasional bull runs. Chainlink exemplifies this trend. It largely reversed in early 2022, but rallied over 120% in the second half of the year.
According to analysts, a similar trend It was observed in 2023, where Chainlink prices gained about 150% in its second half. The correction that occurred in 2024 is deeper by 60%; however, there are indications of a reversal by the end of the year.
The analyst also pointed to the OTHERS/BTC chart as an example of a double bottom. This indicates that the rest of the coins, colloquially known as altcoins, are currently trading at their lowest price per Bitcoin in the last three years. This pattern, which was revealed in June, means that the heavy correction phase could be over soon and therefore there could be a potential massive rally ahead.
Another renowned analyst, Crypto Yoddha, also has a slight hope that alternative coins will rebound. Yoddha also noticed that altcoins remain far from their 200 weekly moving average for a big bounce, until a higher low is created to indicate a bullish continuation.
Yoddha confirmed that altcoins will soon see a strong recovery, which further reinforces the fact that the rally is approaching and taking shape.
The opinion and analysis of both analysts point towards the fact that the stage is set for a good altcoin season. Since altcoins are trading at record lows, investors could experience high returns once the market moves into the bull phase. This could signal a resumption of the altcoin season, thus creating a perfect time to invest in that market.