Altcoin Market Nears 2021 Highs as Golden Cross and Uptrend Signal Potential Major Rally

The altcoin market is showing signs of a potential major rally as TOTAL2—a metric tracking the total market capitalization of all cryptocurrencies excluding Bitcoin—nears its 2021 peak. The movement mirrors the pre-breakout pattern observed in 2017, a period that saw explosive growth in altcoin prices. Analysts are highlighting the possibility of a similar development, with many drawing parallels between current market dynamics and the conditions that preceded the 2017 altcoin boom [1].

A significant technical signal reinforcing this outlook is the formation of a golden cross, where shorter-term moving averages have crossed above longer-term ones. This pattern has historically preceded major upward movements in the altcoin market. The current golden cross is the third of its kind, suggesting continued momentum and a bullish trend [2].

Market structure remains intact, with strong momentum and trend strength continuing to support altcoin prices. Investors are closely watching for confirmation of a breakout above the all-time high (ATH) level. The recent movement in TOTAL2 has drawn comparisons to the 2016–2017 market cycle, in which a Wave 1 advance was followed by a correction and consolidation phase before a sharp upward breakout [3].

Crypto analyst @el_crypto_prof noted that the current setup resembles the pre-2017 altcoin surge, with TOTAL2 pressing against its 2021 high and an uptrend in place. He suggested that if the pattern repeats, a second wave could be even larger in scale. The term “God Candle” has been used to describe the potential breakout candle on the chart, with expectations of valuation levels surpassing those seen in previous cycles [4].

Technical indicators reinforce the bullish structure. According to @Bitcoinsensus, the alignment of moving averages and the preservation of market structure are positive signals. Each time the altcoin market cap crosses above key moving averages, it has historically been followed by explosive rallies. The third crossover suggests a continuation of this upward momentum [5].

As altcoins challenge key resistance levels, momentum continues to build. The convergence of historical patterns and technical signals has led to increased attention on the altcoin market’s next phase. A clear breakout above the 2021 high could trigger a vertical acceleration in prices, supported by favorable macroeconomic conditions [6].

Market participants are remaining cautious but are closely monitoring the overlap between past and present market behavior. Whether the altcoin market will continue its upward trend will depend on whether resistance levels are decisively broken. The current conditions suggest that the altcoin market is on the verge of a significant shift, with many investors preparing for a potential breakout [7].

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Source: [1] TOTAL2 Approaches 2021 Highs, Suggesting Potential for Major Altcoin Rally (https://en.coinotag.com/total2-approaches-2021-highs-suggesting-potential-for-major-altcoin-rally/)