back to top
Monday, June 10, 2024
HomeCryptoAnalysts predict altcoin season is coming, but history suggests an eventual sell-off

Analysts predict altcoin season is coming, but history suggests an eventual sell-off

During the most recent bull cycle, altcoin/Bitcoin pairs fell sharply in June 2019, just before the US Federal Reserve cut interest rates.

The chart pattern for this cycle is identical, and if history is a repeat, an eventual decline in altcoins could be imminent ahead of the Fed’s interest rate decision on June 12.

However, crypto and equity markets fell late last week on US jobs data, which could also mean the Fed will keep interest rates unchanged.

“In June 2019, the ALT/BTC pair capitulated at the low end of the range just before the Fed cut interest rates.

I see it being in a similar position by June 2024.”

Altcoin season is coming… or not?

Even so, analysts still predict that altcoin season is very close. On June 8, crypto analyst ‘Moustache’ compared the last market cycle to the current one, noting structural similarities and commenting that history does not repeat itself, but it does. similarity.

“#Altcoin 2020/2021 vs #Altcoin 2023/2024

History doesn’t repeat itself, but it rhymes.

Pushing this entire market higher.”

MN Trading co-founder Michaël van de Poppe commented on the recent market correction in an X post on June 8, believing that “a bullish breakout is on the horizon next week.” and “still happy with my position in altcoins.”

Meanwhile, ‘Mister Crypto’ told his 120,000 followers on X on June 8 that altcoin season could begin soon.

“#Bitcoinseason appears to have bottomed out.

Altseason season will start from here.”

Bitcoin dominance is a solid indicator of an altcoin bull run. Currently, it is at 55.2%, up nearly 8% since the beginning of the year, according to TradingView.

However, Bitcoin dominance needs to fall below 50% before any hopes of an altcoin season can become a reality, and this seems unlikely in the short term.

Altcoins are still weak

Many people are following Ethereum as it often leads any altcoin price rally. However, ETH has also dropped 3.9% over the past seven days to $3,666 at press time.

Altcoins are now bleeding more, with red covering the entire market.

If the Fed keeps interest rates at 5.25% to 5.50% mid-week, the crypto market, especially altcoins, could fall further before any significant price rally.

You can see coin prices here.

Disclaimer: This article is for informational purposes only, not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.

SN_Nour

According to Cryptopotato

Mark Tyson
Mark Tyson
Freelance News Writer. Always interested in the way in which technology can change people's lives, and that is why I also advise individuals and companies when it comes to adopting all the advances in Apple devices and services.
RELATED ARTICLES

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Fresh