Preparing for Altcoins’ “Manic Phase,” Analysts Call for Next Step — TradingView News

The crypto industry has seen a positive change with the recent market recovery. After a first quarter full of bullish sentiment, the second quarter saw many sectors of the crypto space spark pessimistic sentiment towards altcoins.

Experts and market observers have reassured investors that price corrections are part of the cycle, predicting that the bull rally will resume after the cooling period. Now, analysts see altcoins as poised to embark on a “massive rally” for the alt-season.

Ethereum Rise Revives Sentiment

The crypto market is up 8.3%, with a market cap of $2.55 trillion. This market surge has seen flagship cryptocurrency Bitcoin surpass $70,000 over the past day.

Likewise, the “king of altcoins” has performed remarkably well over the past 24 hours. The price of Ethereum (ETH) is up 22% since yesterday, surpassing levels not seen since mid-March.

However, ETH is yet to test its all-time high (ATH) of $4,878, set almost two years ago. As a result, the second-largest cryptocurrency has been criticized this cycle for being “a major disappointment.”

In a turn of events, rumors of ETH spot exchange-traded fund (ETF) approvals have refueled investors’ bullish reservoir, “erasing just 65 days of decline” with a single daily candle.

As ETH recovers, analysts believe that it is only a matter of time before the entire altcoin sector kicks off altcoin season. Crypto analyst Rekt Capital highlighted the “cryptocurrency flow cycle,” stating that now that BTC and ETH have recovered, “it’s time for Altcoins to recover.”

Is Altcoin Season Here?

During downturns, market observers analyzed the journey of altcoins during this cycle. Altcoin Sherpa said many tokens did not “perform that strong” during the first round of the bull run, leading him to anticipate a 1-4 month “cooling off” period before resuming the upward trend.

Despite the similarities to previous bull runs, this cycle’s oddities, like the approval of Spot Bitcoin ETFs and Memecoin’s pre-selling frenzy, have investors wondering if they will see the alt season this time around.

Nonetheless, several analysts, who previously urged investors not to panic, suggest that the community is bracing for the coming “manic phase.” Crypto Yoddha shared its chart for the 2024 altcoin cycle, stating that the decline was “just a higher low in an uptrend.”

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According to the chart, the altcoin market is now looking to retest the $1.27 trillion resistance level seen in March before testing the last cycle’s ATH of $1.7 trillion. For the Yoddha crypto, “we see a bullish continuation” that will lead to a new market ATH during the second round.

Similarly, Top analyst Michaël van de Poppe, who recently sold all his BTC for Altcoins, said that the Altcoin market cap had completed its correction:

The next step: reaching an all-time high, about 60-70% from here.

I think #Ethereum will likely reach this goal in the next 2-4 months.

Finally, Crypto Jelle considers that “Altcoins are about to embark on a massive rally” after an 18-month accumulation period. The analyst compared the recent market breakout to a balloon unrolling underwater, saying “it’s time for history to repeat itself.”

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