Altcoins
Crypto News Today: Altcoin Market Cap Expected to Consolidate Ahead of Rally
In recent days, the cryptocurrency sector has continued to consolidate without there being a clear winner between buyers and sellers. In the medium term, the lack of definitive guidance on the price development of Bitcoin (BTC) has accelerated profit-taking in the altcoin sector.
Crypto whales gradually accumulate
Nonetheless, on-chain data shows that smart traders continued to accumulate strategic crypto assets in anticipation of the explosive rallies to come.
Additionally, the promotion of fundamentals such as the fourth Bitcoin halving and the approval of spot BTC and Ethereum ETFs in the United States and Hong Kong have already taken place in recent months.
Therefore, more liquidity inflows from institutional investors into the crypto sector will continue to improve existing liquidity. According to the latest revelations, Singapore’s largest bank, DBS, holds almost $650 million worth of Ether, according to Nansen data.
The turbulent days for the Altcoin industry are numbered
With the exception of a few altcoins led by meme coin players that have seen colossal profits, most are still consolidating after the cryptocurrency’s breakout earlier this year. According to popular crypto analyst Michaël van de Poppe, the total altcoin market capitalization will soon continue to consolidate around $667 billion.
However, the crypto analyst believes that the downward pressure in the altcoin industry is over, signaling an inevitable bullish breakout.
Similar sentiments were expressed by another crypto analyst, aka MikyBull Crypto, who believes that the altcoin industry is closely replicating the 2016/2017 rally in the ongoing bull market. The crypto analyst highlighted that the altcoin’s ongoing correction is the latest shake-up before the much-anticipated parabolic rally.