Majority of the top 10 altcoins traded in red on Monday with Bitcoin trading above the important $20,000 levels. Most of the altcoins were down by one to two percent, while Solana and Dogecoin shed more than five percent of their value in the last 24 hours according to CoinGecko.
Rekt Capital, a cryptocurrency trader, and analyst who likes to remain unknown shared his predictions for the future of cryptocurrencies. The crypto enthusiast believes that if altcoins fail to cross important resistance levels, there may be another significant drop in store for them.
In the worst scenario, the alt prices might plunge by 30%. The analyst, on the other hand, claims that overselling can be seen in Bitcoin based on data science models.
To evaluate the overall state of altcoins, one need not always turn to sophisticated statistical models. It may also be helpful to utilize the Total 2 Crypto Market Cap Index, which measures the weighted average capitalization of ETH, BNB, LTC, XRP, ADA, DOT, and the other altcoins while excluding BTC.
Will Altcoins be Hard Hit Again?
Accordingly, the index reveals that during the second capitulation phase, which lasted for the first two weeks of June, altcoin prices have dropped into a range with an estimated spread of almost $100 billion.
There have been two attempts to cross the corridor’s upper limit, which is resistance at about $540 billion. Altcoins continued a low-volatile consolidation in the range after failing to surpass this level, and they are currently trading in the middle of it.
Looking at what occurred to alts from May through June reveals Rekt Capital’s hint. After the first significant sell-off at the time, cryptocurrencies were similarly trapped in a comparable price range and, unable to escape for a month, saw a well-known 30 percent decline in their total capitalization.
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Source: https://coinpedia.org/altcoin/major-altcoins-to-plunge-30-in-coming-days-hints-rekt-capital/