LIVEAltcoins will bottom in early summer before bull run — Analyst
Based on historical chart patterns, altcoins could be set to find their local price bottom around the beginning of June, according to popular crypto analyst Rekt Capital, who wrote in a May 8 X post: The altcoin market took a beating during the past month. The market cap of altcoins, excluding the 10 largest cryptocurrencies, fell over 21% during the previous month to $265 billion. Despite the monthly slump, the altcoin market cap is still up over 24% year-to-date (YTD), and over 167% during the past year.Altcoin sentiment is historically correlated with Bitcoin price. Altcoins could find their local bottom around June, as market sentiment and Bitcoin price remains subdued by decreasing inflows from U.S. spot Bitcoin exchange-traded funds (ETFs), according to Alex Onufriychuk, blockchain advisor and coach at QUBIC Labs Accelerator. He told Cointelegraph: Despite seeing a potential local bottom, an altcoin bull run would first require Bitcoin price to break out to the upside, according to Aurelie Barthere, principal research analyst at Nansen, who told Cointelegraph: BTC price has been posting lower highs since mid March. But many analysts argue that this is a healthy period of consolidation after the halving. Moreover, the charts hint at a multi-month bull flag taking shape for new all-time highs later this year. Altcoin prices could also rise due to the M2 money supply, which turned positive year-over-year for the first time since November, signaling that investors could soon start looking for hedges against inflation or alternative investments.The M2 money supply is an estimate of all cash held and short-term bank deposits across the United States.
As the money supply in the world's largest economy increases, part of the new supply could find its way into altcoins and memecoins, contributing to the beginning of the "altszn."