Key Points
- Bitcoin’s dominance in the market has been declining, potentially signaling the beginning of an altcoin season.
- The altcoin market cap is set to breakout above a bullish pattern, indicating a possible massive rally.
Bitcoin’s dominance in the cryptocurrency market has seen a decline in recent days.
This could be an indication that we are at the beginning of an altcoin season, a period where altcoins see significant growth.
Altcoins Gearing Up for Rally
Recent analysis suggests that the altcoin market capitalization is on the brink of breaking out above a bullish pattern.
This could potentially trigger a significant rally.
World Of Charts, a well-known crypto analyst, shared this development on social media.
According to the analyst, a broadening falling wedge pattern has appeared on the altcoin market cap chart, a bullish sign that suggests a price increase for altcoins may be imminent.
The altcoin market cap has reportedly broken above the upper limit of this pattern, indicating a possible altcoin rally in the near future.
If these predictions hold true, the altcoin market cap could surge by more than 300% in the coming days.
ETH and BNB Performance
In order to gain a deeper understanding of the potential altcoin rally, the conditions of two major altcoins, Ethereum (ETH) and BNB, were examined.
The weighted sentiment of both ETH and BNB remained largely positive over the past week, suggesting a bullish sentiment and a potential price increase.
Furthermore, ETH’s MVRV ratio saw a significant increase, a sign typically interpreted as bullish.
However, Ethereum is nearing resistance and the Relative Strength Index (RSI) has shown a slight downtick, suggesting that ETH could face rejection near its resistance.
On the other hand, BNB appears to be in a more optimistic state, having broken above a resistance level.
Its RSI has also remained in an uptrend, suggesting a continued price increase could be on the horizon.
