Altcoin Trends – Will Altcoins Bounce Back? Historical Patterns Suggest Recovery
Altcoin Trends – As the cryptocurrency market continues to fluctuate, altcoins may be facing more challenges before any potential gains, according to seasoned trader Benjamin Cowen, founder of ITC Crypto. In a recent post on X (formerly Twitter), Cowen predicted a significant “altcoin reckoning” that he believes is set to unfold in the coming months.
The Final Reckoning for Altcoins
“It looks like the grand finale of the altcoin reckoning has finally arrived,” Cowen stated on November 4. He projected that this reckoning would likely conclude by December 2024 or the second week of January 2025 at the latest. “It has been a long journey, and many gave up along the way, but this process was always going to play out,” he added, reflecting on the prolonged bear market that has affected altcoins.
Cowen’s prediction is informed by a historical pattern observed during the 2019 bear market, where a similar flush-out of altcoin markets occurred. Currently, the altcoin market capitalization chart appears to be mirroring that pattern, suggesting that further pain may precede recovery.
Historical Context: Recovery and Highs
The analyst pointed out that altcoins began to recover in 2020, culminating in a significant surge to new highs in 2021. He believes this scenario could repeat itself in 2025, setting the stage for a robust comeback for altcoins after a difficult period.
In a separate discussion on X, Cowen noted that altcoin/Bitcoin pairs have been on a downward trend for three consecutive years. He highlighted that the last two significant “altseasons” occurred in post-halving years, specifically 2017 and 2021.
Upcoming Altseason Predictions
Another trader, known as “ardizor,” echoed similar sentiments in a November 4 post, suggesting that the altseason patterns seen in 2017 and 2021 are re-emerging. Meanwhile, crypto investor “Sensei” informed his 60,000 X followers that “the biggest altseason ever will start in less than 10 days.”
Bitcoin’s Market Dominance
Currently, Bitcoin’s market dominance stands at 60.5%, its highest level since March 2021, according to TradingView. This dominance raises questions about the potential for altcoin movements, as many analysts believe significant shifts are unlikely until Bitcoin’s market share falls below 50%.
Recent market activity saw a retreat over the weekend, with total capitalization dropping to $2.4 trillion by November 4. Altcoins bore the brunt of these losses, with Ether (ETH) and Solana (SOL) both experiencing an 11% decline since their highs on October 30. Meanwhile, BNB has seen an 8% drop, while Bitcoin has only dipped 5.8% since peaking above $73,000 at the end of last month.
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