Traders hope for ‘insane pump’ as altcoins approach key resistance levels

    27 May 2024
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    Analysts are speculating again about a potential start to altseason after a recent surge in total altcoin market capitalization — including Ether — which is now approaching a key resistance level.

    Crypto traders and analysts have been eyeing altcoins following Ether’s 27% gain over the past seven days.

    Altcoin total market capitalization is currently around $1.16 trillion, according to TradingView. It has increased 15% over the past fortnight and is approaching resistance levels from mid-March when it topped $1.2 trillion.

    On May 26, ‘Trader Tardigrade’ told his 50,000 followers on X that the altcoin market could surge three times its total market cap if it manages to break out from an “inverse head-and-shoulders pattern.”

    “It is expected to breakout in a few weeks time according to this pattern,” they added.

    On May 26, trader and analyst ‘Rekt Capital’ observed that the altcoin market cap is set to perform its highest weekly close since early April 2024.

    Meanwhile, technical analyst ‘Yoddha’ said: “Expect some insane pump in alts when this breaks above the weekly resistance” in a post on X on May 26.

    Analyst ‘Moustache’ shared a similar chart with his 120,000 followers on X, stating, “Altseason is just around the corner.”

    Analysts have also observed that in previous cycles, Bitcoin prices moved first, followed by Ether, and then altcoin markets, as capital tends to flow down the chain into lower-cap coins.

    Bitcoin market dominance has declined 3.7% over the past fortnight to 53.9%, another sign of strengthening altcoin markets.

    In a post on X on May 25, MN Trading founder Michaël van de Poppe observed that the recent market correction, which was around 25%, entailed a 50-70% correction for altcoins.

    He predicted that in this cycle, total market capitalization would reach $15 trillion, a gain of 450% from current levels of $2.7 trillion.

    Total crypto capitalization has been range bound for the past three months between $2.9 trillion in mid-March and the correction low of $2.3 trillion on May 1, according to CoinGecko.

    Source: https://cointelegraph.com/news/traders-hope-insane-pump-altcoins-approach-key-resistance-levels

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