- Altcoins hover around $295B, with resistance at $302B and support at $251B.
- The FOMC meeting in 15 days could trigger bullish momentum for altcoins.
- Analysts predict a possible $3T+ altcoin market cap, driven by rate cuts.
The altcoin market continues to show minimal movement, hovering just below a significant resistance level. Current data indicates that the total altcoin market capitalization stands at approximately $295.37 billion, only a fraction below the $302.07 billion resistance.
The market remains indecisive, mainly because investors are awaiting a catalyst that could drive either a breakout or a pullback. This period of stagnation has led to discussions among traders and analysts who predict a potential downside risk.
According to market forecasts, the altcoin market could retest the $251.67 billion support level. A deeper correction might even push valuations toward the “Buy Zone” between $126 billion and $138 billion.
FOMC Meeting Could Be a Turning Point
In just 15 days, the Federal Open Market Committee (FOMC) will meet, potentially bringing major changes to the economic landscape. Many analysts expect that the FOMC will announce rate cuts, which could inject liquidity into the market and encourage investment in riskier assets like altcoins.
Such a move could significantly trigger a bullish market trend. The anticipation of a rate cut has already led to a wave of optimism among traders, with some speculating that this could mark the beginning of a major rally in altcoins.
Lower interest rates are often seen as a signal for capital rotation into assets with higher growth potential, such as cryptocurrencies.
A Possible $3 Trillion Market Cap
Several analysts are pointing to the formation of a “cup and handle” pattern in the altcoin market. Merlijn The Trader notes that this pattern often signals a future breakout. He explains that the cup formed during a period of market pain, while the handle emerged amid skepticism.
According to The Trader, the breakout from this pattern is likely to be exponential rather than gradual. With such a breakout, analysts predict that the altcoin market could soar to a valuation of over $3 trillion.
While the path to this figure may not be straightforward, the optimism surrounding rate cuts and the overall market environment suggests that altcoins could see significant growth in the coming months.
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.
