Pundit Says Current Altcoin Trend “Feels” Like January 2019, Here’s What Happened Back Then

Talks of an impending altcoin season are as soon as once more gaining traction available in the market as main cryptocurrencies noticed a contemporary rebound at first of this yr. A crypto analyst has likened the present altcoin market development to that seen in January 2019—a interval that marked the early phases of a significant market flip. The comparability now has many merchants watching intently to see whether or not the market may very well be organising for the same transfer. 

Current Altcoin Market Echoes Trend From January 2019

Crypto pundit Chad Steingraber said in a latest X put up that at the moment’s market feels so much like January 2019, when investor sentiment was extremely negative. At the time, Bitcoin was buying and selling close to $3,000, and Ethereum’s value was round $100, when most believed the market was over. Yet regardless of the downtrend, the analyst revealed that he had invested closely in each cryptocurrencies. 

Although the market was recovering from a bear market, Steingraber revealed that issues started to show round in April of that yr, resulting in the robust long-term outcomes that at the moment are broadly identified. Notably, throughout that point, the crypto market noticed a powerful breakout that modified sentiment throughout the house. 

According to CoinGecko’s yearly report for 2019, Bitcoin’s value surged over $13,000 in June and ended the yr 95% increased than the place it began. This value bounce helped drive a broader market rally and marked a key transition from bear market lows earlier within the yr. Altcoins additionally reacted to this surge in market momentum, as merchants and investors sought growth beyond Bitcoin and diversified into lower-cap cryptocurrencies. 

While some altcoins, together with Ethereum, Litecoin, and Bitcoin Cash, climbed by greater than 40% in 2019, different large-cap tokens, akin to XRP, performed poorly, ending the yr considerably weaker regardless of earlier strength in 2018. Excluding particular person altcoin good points, the full cryptocurrency market capitalization grew by greater than 44% in 2019, peaking at $350 billion in late June. The market additionally skilled a surge in buying and selling quantity of over 600%, together with renewed enthusiasm amongst buyers who had stayed on the sidelines in the course of the prior downturn. 

Altcoin Market Eyes Breakout As Analyst Flags 221B Level

In a separate put up, crypto analyst @brain2jene shared a chart monitoring the full altcoin market capitalization, excluding the highest 10 cash. He defined {that a} Falling Wedge breakout has already set the stage for the market’s subsequent transfer. The analyst famous that the wedge sample has been forming for weeks and emphasised that altcoins sometimes start to maneuver as soon as the value breaks above the wedge strains proven on the chart. 

The chart additionally exhibits a transparent pullback after the value hit the 221.87B resistance, which @brain2jene recognized as the important thing stage to look at. He defined {that a} clear break above 221.87B is vital and will add one other $50-$60 billion to the market, with the goal zone close to the higher development line.

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Supporting this outlook, momentum appears strong, because the RSI on the chart has damaged out of a downtrend. The analyst famous that this might sign the beginning of a broader altcoin rally, probably boosting the value of cash like VeChain (VET), SUI, Internet Computer (ICP), and IMO.