Altcoin
Preparing for the ‘manic phase’ of Altcoins, analysts call for the next step forward
The cryptocurrency industry has seen a positive change with the recent market recovery. After a first quarter filled with bullish sentiment, the second quarter saw many sectors of the crypto space stir pessimistic sentiment towards altcoins.
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Experts and market observers reassured investors that price corrections were part of the cycle, predicting that the bullish rally would resume after cooling. Now, analysts believe that altcoins are about to take a “huge step forward” for the alt season.
Ethereum’s surge fuels sentiment
The cryptocurrency market is up 8.3%, with a market capitalization of $2.55 trillion. This market surge has seen Bitcoin, the flagship cryptocurrency, rise above $70,000 in the past day.
Likewise, the “king of altcoins” has achieved extraordinary results in the last 24 hours. The price of Ethereum (ETH) is up 22% since yesterday, surpassing levels not seen since mid-March.
However, ETH has yet to test its all-time high (ATH) of $4,878, which it reached nearly two years ago. As a result, the second largest cryptocurrency was criticized this cycle for having been “a great disappointment”.
In a series of events, voices of a approval ETH spot exchange-traded funds (ETFs) have replenished investors’ bullish tank, “erasing just 65 days of bearishness” with a single daily candle.
With ETH rising, analysts believe it is only a matter of time before the entire altcoin sector surges to kick off the altcoin season. Crypto analyst Rekt Capital highlighted the “Cryptocurrency Money Flow Cycle,” stating that now that BTC and ETH have recovered, “it is time for Altcoins to recover.”
Is Altcoin Season Here?
During the downturns, market observers have analyzed the path of altcoins in this cycle. Altcoin Sherpa has declared that many tokens did not “run as hard” during the first round of the bull run, resulting in a 1-4 month “cooling off” period expected before resuming the uptrend.
Despite the similarities to previous bull runs, the singularities of this cycle, such as the approval of Spot Bitcoin ETFs and the Memecoin presale frenzy, have investors wondering whether they will see the alt season this time.
However, several analysts, who urged investors not to panic earlier, to suggest the community prepares for the future “manic phase”. Crypto Yoddha shared his chart for the 2024 altcoin cycle, saying the drop was “just a higher low in an uptrend.”
2024 Altcoin Cycle. Source: Crypto Yoddha on X
According to the chart, the altcoin market is now looking to retest the $1.27 trillion resistance level seen in March before testing the $1.7 trillion ATH of the latest cycle. For Yoddha cryptocurrency, “we are looking at bullish continuation” leading to a new market ATH during round 2.
Likewise, lead analyst Michaël van de Poppe, who recently sold all his BTC for Altcoin, declared that the Altcoin market cap has finished its correction:
The next step: reach the all-time high, which is about 60-70% from here.
I think #Ethereum will probably reach this goal in the next 2-4 months.
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Finally, Crypto Jelle believes that “altcoins are about to embark on a massive rally” after an 18-month accumulation period. The analyst respect the market’s recent success with a ball held under water, arguing that “it’s time for history to repeat itself.”
Featured image from Unsplash.com, chart from TradingView.com