Altcoins
Will market capitalization see a sharp increase?
After struggling to stay above $65,000 for a few days, the BTC Price has now moved its resistance to $63,000. Since the token hit a low near $60,000, the bears have gained the upper hand and held a significant hold on the rally. At the same time, altcoins are also facing a similar bearish pullback, with the prices of major cryptocurrencies stuck in a range. This indicates that bearish momentum is slowly increasing around the space, so the possibility of an alternate season may not appear within the range.
On the other hand, if we take a close look at the current rally, it appears that the altcoin market is experiencing the last short-term correction before surpassing all-time highs (ATH). the previous resistance zone, during the 2019-2020 rally, has now transformed into a strong support zone, which provides a solid base to trigger a rebound. Therefore, the current pullback can be seen as the last swing in volatility and could be the last opportunity to enter before altcoins begin an aggressive bull run.
The chart above shows that the traditional delay Bitcoin has surpassed its previous ATH, which is the same as last cycle. Based on historical behavior, it appears that the current trend is no different from this one. It therefore seems that the markets are going to be extremely aggressive in the coming days with strong alternation.
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The variations in the chart above and the price action suggest that the altcoin’s market capitalization has just fallen below the crucial $1 trillion level. Despite the fall, the levels remain within the bullish range and are therefore now expected to trigger a sharp rise, but further losses may be seen first. Therefore, the total market capitalization excluding Bitcoin is expected to fall by almost $800 billion as altcoins are expected to maintain a downward trend for another week or two.
After hitting intermediate lows, levels could remain long and maintain a healthy rise for the rest of the year, which could continue into 2025 to reach new highs, likely above $4 trillion.
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