- Altcoin Season Index has stayed below 25 over the past 90 days.
- Total altcoin market cap dropped from $1.8T to $1.3T since September.
- QT may end tomorrow, a point that previously aligned with crypto rallies.
Altcoins have underperformed as the Altcoin Season Index stayed below 25 for 3 months. Bitcoin has maintained dominance, with the index needing to reach 75 to signal an altcoin season. Meanwhile, the altcoin market capitalization dropped from $1.8 trillion in mid-September to about $1.3 trillion.
Analysts Point to Resistance and Support Levels
CryptoCapo’s chart analysis shows that the Altcoins Total Market Cap has dropped below a key support near $251 billion. Historical data indicate that this support held in previous pullbacks, but its recent breach is viewed as a bearish signal.
The analysis also shows repeated failures to break the $302 billion resistance level, which has now formed a ceiling for altcoin recovery. With this resistance intact, CryptoCapo forecasts a further pullback toward a support range between $130 billion and $140 billion, referred to as a “Buy Zone.”
QT End May Signal Market Shift
Quinten has shared a separate analysis suggesting that the nearing end of Quantitative Tightening (QT) could mark a turning point. Past data shows that when QT ended in previous cycles, crypto markets found local bottoms and began to recover.
Historical patterns reveal that market lows often align with the Altcoin Season Index falling near the 0.25 level. With QT expected to end tomorrow, some analysts are watching closely for a repeat of this trend.
“Previous QT conclusions aligned with rallies, and we may be approaching another inflection point,” Quinten said.
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.
