Published on mei 12, 2024, 12:28 am
Image source: Fox News
```json { "TLDR": "Analysts foresee a possible altcoin bull run depending on Bitcoin's breakout. Altcoins may hit a price bottom in early June, with signs of stabilization. However, altcoin rally hinges on Bitcoin's positive price movement first. Positive indicators and external factors suggest a favorable outlook for altcoins, but investment decisions should be approached cautiously due to inherent risks in crypto markets." } ```
An Altcoin bull run might be on the horizon but would heavily depend on Bitcoin’s breakout from its current trading range, as noted by Nansen’s principal research analyst. Leading into this potential shift in the cryptocurrency market landscape, analysts project that June could mark a turning point, potentially initiating the upcoming altcoin bull cycle.
According to Rekt Capital, a respected crypto analyst, historical chart patterns indicate that altcoins could potentially hit their local price bottom in early June. Despite facing a significant downturn in the previous month with a 21% drop in the market cap of altcoins excluding the top 10 cryptocurrencies, the overall year-to-date performance indicates an impressive surge of over 24% and a remarkable growth of 167% over the past year.
The sentiments surrounding altcoins are closely tied to Bitcoin’s price movements. With dwindling inflows from United States spot Bitcoin exchange-traded funds (ETFs), market experts suggest that altcoins may stabilize around June before any potential upward trend takes place. However, for an altcoin rally to materialize, it is crucial for Bitcoin’s price to break out positively first.
Analysts like Aurelie Barthere from Nansen emphasize the need for BTC to exhibit signs of breaking its pattern of lower highs seen since mid-March for a sustained period. While many interpret this phase as a healthy consolidation post-halving, there are indications pointing towards a multi-month bull flag formation that could pave the way for new all-time highs potentially by 2024.
Despite positive indicators like buy signals from moving averages and other technical analysis tools suggesting optimistic outcomes for top altcoins such as Ether (ETH), certain external factors like M2 money supply growth also come into play. The recent positive year-over-year change in M2 money supply since November 2023 implies that investors might seek alternative investments or hedge against inflation, possibly leading to increased interest and investment flows into altcoins and even memecoins.
While this information provides insights into potential market trends and dynamics, it is crucial to remember that any investment decisions carry inherent risks. It is advisable for readers to conduct thorough research and exercise caution when making financial choices in volatile markets like cryptocurrencies.
Original article posted by Fox News
