Altcoins set for big move

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After undergoing considerable adjustments, the market value of alternative cryptocurrencies is bouncing back strongly. With bitcoin approaching its latest record peak once more, various altcoins are competing fiercely to achieve their own price surges.

Altcoin market cap in bull flag

The price of bitcoin is inching closer to the peak of its bull flag, and similarly, many alternative cryptocurrencies are following suit, with their combined market capitalization approaching the top of its own bull flag. A potential gain for this bullish pattern, although it’s uncertain, could push the total value of altcoins up to $1.68 trillion from its current $1 trillion mark.

Cup and handle pattern even more bullish

From a broader perspective, the altcoin market shows promising signs when we switch our focus to the weekly chart. A cup and handle formation is emerging, with the ongoing correction serving as the handle. If the altcoin market capitalization succeeds in breaking free from the bull flag and reaches the resistance at $1.26 trillion, a confirmed breakthrough could trigger the cup and handle pattern, resulting in a significant increase. Based on this pattern, the combined value of all altcoins might double, reaching approximately $2.1 trillion.

Altcoin market cap targets

In simpler terms, if we consider the total market value of all altcoins to be around $2.1 trillion as a conservative estimate, using Fibonacci extensions as a guide, the next potential milestone at the 1.618 extension would be approximately $2.5 trillion. The 2.618 extension would point to roughly $3.8 trillion, and the 3.618 extension would suggest an impressive target of around $5 trillion.

In simple terms, markets experience both declines and rallies, including this ongoing altcoin correction which is approximately 29%. More corrections may occur before reaching greater heights, and it’s impossible to predict the exact top. Investors should exercise caution when trading these markets due to expected volatility.

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2024-04-23 14:02