- Altcoin market shows signs of strength as leading altcoins engineer significant gains.
- Analyst predicts potential new yearly highs for altcoins amid longstanding resistance.
- Altcoin cap may rise by 19%, reaching $455.86 billion, with potential for pullbacks.
With leading alternative cryptocurrencies (altcoins) such as XRP, Cardano (ADA), and Solana (SOL) engineering significant gains in recent weeks, experts in the community seem increasingly optimistic about the potential of the overall altcoin market.
Pentoshi, a prominent Bitcoin analyst account on X with over 750K followers, has weighed in on the potential for the overall altcoin market to break a year’s peak amid an overstayed resistance.
Pentoshi first highlighted that the current valuation of all altcoins, excluding Ethereum, has dropped below the 2017/2018 all-time high (ATH). Given the altcoin cap of around $383 billion, the analyst expressed frustration at the bearish forces that have hindered altcoins from breaking out significantly after all the years.
Nonetheless, the analyst believes that a breakout from this resistance level could lead to new yearly highs for altcoins in the short to medium term.
Specifically, Pentoshi projected that altcoins could reach their 2021 lows and 2022 summer highs – marked by the upper white line in the chart accompanying the X post. The market cap he forecasted on the X post for altcoins (excluding BTC and ETH) is $455.86 billion, implying a 19% surge from the current point.
Meanwhile, Pentoshi cautioned that there will be typical large and deep pullbacks along the way to the projected valuation. Notably, another prominent analyst argued the emergence of a recurring pattern in the altcoin market. He suggested that the upcoming Bitcoin halving event is poised to influence breakout trends in altcoins significantly.
Interestingly, the market cap of Bitcoin exceeds the combined valuation of all altcoins, including Ethereum (ETH). CoinMarketCap data suggests the overall digital asset market is worth $1.28 trillion. With Bitcoin commanding a market share of over $675 billion, altcoins have only $605 billion.
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Source: https://coinedition.com/analyst-forecasts-455b-altcoin-cap-can-altcoins-reach-new-highs/