The recent drop in Bitcoin to the $92,000 level has triggered a ripple effect across the altcoin market. While major altcoins like XRP, DOGE, ADA, and LINK suffered losses, meme coin PEPE managed to defy the trend with notable gains. Despite the downturn, analyst Jason Marks predicts a potential recovery that could see the total altcoin market capitalization reach $1.85 trillion.
Bitcoin’s Influence on Altcoin Movements
Over the past 24 hours, Bitcoin’s decline to $92,000 has impacted the altcoin market significantly. XRP dropped by 2.79%, Dogecoin (DOGE) by 2.67%, Cardano (ADA) by 3.49%, and Chainlink (LINK) by 4.62%. Meanwhile, Bitget Token (BGB) faced a sharp loss of 11.49%, and Polkadot (DOT) fell by 5.88%. However, meme coin Pepe (PEPE) surged by 5.24%, climbing to $0.00001923, offering a glimpse of hope amidst widespread declines.
Fractal Analysis Signals Potential Altcoin Rally
According to Jason Marks, a prominent analyst, a specific fractal pattern indicates significant growth potential for the altcoin market. This pattern suggests that altcoins could collectively achieve a market cap of $1.85 trillion. However, this bullish scenario hinges on the completion of the current market correction phase.
Analysts further emphasize that for an altcoin rally to gain momentum, Bitcoin’s market dominance must decrease. Currently, Bitcoin holds a 56.7% dominance, limiting the flow of investment into altcoins. Additionally, the potential introduction of altcoin ETFs in 2025 could attract institutional investors and drive prices upward.
Key Indicators: RSI and MACD
On the weekly chart of the altcoin market, the Relative Strength Index (RSI) is positioned at 60.95, indicating that bulls still maintain control. However, the RSI trend suggests that the market may move sideways for a while before a definitive breakout occurs.
The MACD (Moving Average Convergence Divergence) indicator presents a contrasting signal. The MACD line (blue) is approaching the signal line (red), signaling a potential bearish crossover. Moreover, the histogram indicates a decline in bullish momentum, suggesting caution for short-term traders.
Outlook for the Altcoin Market
The altcoin market remains poised for a potential rally, provided that Bitcoin’s dominance eases and market conditions stabilize. Upcoming innovations like altcoin ETFs could significantly impact the landscape, attracting broader investor interest. As investors await these developments, Turkish NY Radio will continue to provide timely insights and analysis on the evolving altcoin space.
