A closely watched analyst believes that cryptocurrencies are gearing up to witness a highly anticipated altcoin season as the market releases figures seen only twice in eight years.
Pseudonymous analyst TechDev told his 493,800 followers on social media platform X that altcoins are poised to surpass Bitcoin (BTC) based on historical data.
The cryptocurrency strategist shared charts showing that alt seasons occurred in 2017 and 2021 when Bitcoin printed new six-month candles after surpassing the cycle’s all-time highs.
“This was the candle that created the altcoin movement that many people had been waiting four years for.”
Looking at the trader’s charts, he seems to suggest that it will take 1,280 days for altcoins to skyrocket after Bitcoin hits a cycle top. When signs emerged in 2017 and 2021, Bitcoin Dominance (BTC.D) suffered a sharp decline over the course of a year, giving the altcoin plenty of time to outperform BTC.
The BTC.D chart tracks Bitcoin’s share of the overall cryptocurrency market capitalization. The bearish BTC.D chart suggests that altcoins are gaining value faster than Bitcoin.
Zooming in, TechDev says altseasons also tend to occur when Bitcoin taps the upper range of the Bollinger Bands on the weekly chart.
Traders use Bollinger Bands to identify periods of potential extended volatility and determine whether an asset is overbought or oversold.
“When Bitcoin reached this extension line, altcoins had a steep six-month rally.”
Based on Trader Charts, he appears to have predicted that the TOTAL2 chart, which tracks the market capitalization of all cryptocurrency assets except Bitcoin and stablecoins, will see a huge rise in the coming months.
As of this writing, TOTAL2 is trading at $1.476 trillion.
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