- The 3-day Relative Strength Index (RSI) for the altcoin market (TOTAL2) has reached levels not seen since the 2022 capitulation, indicating extreme seller exhaustion.
- After surging above a year-long resistance trendline in 2025, altcoins have returned to “kiss” that same line, transforming old resistance into new support.
- With Bitcoin dominance hovering near 60%, analysts anticipate a major capital shift into the $929 billion altcoin sector, potentially triggering a new “altseason.”
The ever-volatile world of cryptocurrency, altcoins are stealing the spotlight once again. Recent technical analysis from prominent crypto trader @el_crypto_prof highlights a compelling case for optimism in the altcoin market. The TOTAL2 chart, which tracks the total market capitalization of cryptocurrencies excluding Bitcoin, shows a perfect retest of a key breakout level from 2025, combined with the lowest 3-day Relative Strength Index (RSI) since the market bottom in 2022. This setup suggests that altcoins may be on the cusp of a significant upward move.
Technical Mastery: Retesting the 2025 Breakout Level on TOTAL2
The chart illustrates a prolonged downtrend line that has been respected multiple times since mid-2025, leading to a sharp decline in market cap. However, the recent dip, circled in yellow, appears to mark a potential reversal point. After breaking out above this trendline earlier in 2025, the retest has held firm, with prices bouncing back and forming higher lows. This technical pattern is often seen as a bullish continuation signal, indicating that sellers are exhausted and buyers are stepping in.
Adding to the bullish narrative is the oversold RSI reading on the 3-day timeframe. RSI measures momentum and ranges from 0 to 100, with readings below 30 typically indicating oversold conditions ripe for a rebound. The current level mirrors the extreme capitulation seen at the 2022 lows, which preceded a massive altcoin rally. With Bitcoin dominance potentially peaking, capital rotation into altcoins could accelerate, fueling what many call “altseason.”
Altseason Catalysts: Ethereum Upgrades and the Layer-2 Surge
Market data supports this view. The total altcoin market cap stands at approximately $929 billion, down from peaks but showing signs of stabilization. Projects in DeFi, NFTs, and layer-2 solutions are particularly well-positioned, as ecosystem developments like Ethereum’s ongoing upgrades and Solana’s scalability improvements attract fresh investment.
Of course, risks remain. Macroeconomic factors, such as upcoming CPI data and global economic uncertainty, could introduce volatility. Traders should watch key support levels around $850 billion and resistance at $1.2 trillion. Nonetheless, the technical confluence points to higher prices ahead.
For investors, this could be an opportune moment to diversify beyond Bitcoin. As @el_crypto_prof aptly puts it, “Higher, so much higher.” Stay tuned as the market unfolds—altcoins might just lead the next crypto bull run.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.
