THE The altcoin market is booming over the past few weeks, thanks to the resurgence of the leading cryptocurrency, Bitcoin, and the changing climate of the general crypto market. Although the recent altcoin market momentum appears to be weakening, there is still broad optimism among many investors and analysts.
Mags, a popular crypto analyst on the X Platform (formerly Twitter), offered insight into the current landscape of the crypto asset class and its future prospects as the bull market approaches.
Will Altcoins go parabolic again?
In a post on, Mags presented bold predictions regarding the market capitalization of altcoins and expects the value of most cryptocurrencies to go parabolic in the coming years. The crypto analyst’s bullish argument revolves around the Moving Average Convergence/Divergence (MACD) indicator on the altcoin chart’s monthly time frame. On the highlighted chart, the monthly MACD is about to make a bullish crossover.
#Altcoin will it become parabolic again?
Monthly MACD on Altcoin Marketcap is about to break the uptrend
In 2020, we saw a similar bullish crossover on MACD and Altcoin Marketcap, going from -$85 billion to $1.73 billion (+2,100%).
Altcoin’s market capitalization currently stands at $650 billion.
Even if that… pic.twitter.com/NwvCbxRTwY
– Mags (@thescalpingpro) November 17, 2023
From a historical perspective, the crypto analyst cited that a similar bullish crossover occurred on the moving average convergence/divergence indicator in 2020. Following this crossover, the market cap of altcoins rose skyrocketing more than 2,000%, from $85 billion to $1.73 trillion. If this MACD crossover happens again, Mags expects a similar rise for the altcoin market.
In what seemed like a more realistic stance, the crypto analyst postulated an increase in market capitalization to $7 trillion by 2025, even if altcoins only see half the growth of 2020. This represents an increase of approximately 1,000% from the altcoin’s current market cap of $637 billion.
According to data provided by CoinGeckothe total market cap of cryptocurrencies stands at $1.429 trillion, with Bitcoin retaining its place as the largest cryptocurrency (market cap over $700 billion).
Bitcoin Resumes Its Dominance in the Crypto Market
According to a recent report from Santiment, Bitcoin appears to be dominating the market again. altcoins after a good run last month. The on-chain analytics platform highlighted that most cryptocurrencies saw a price correction at the end of the week.
📊 #Bitcoin Price dominance is finally back, at least for now. #Altcoins retraced at the end of the week after last month’s torrid rally. If the crowd starts to worry and show #FUDhowever, we could see rapid price rebounds. pic.twitter.com/VAcKd27WIH
– Santiment (@santimentfeed) November 17, 2023
Many altcoin class tokens, including newer ones like Solana, CardanoAnd avalanche, seems to slow down. Nonetheless, Santiment said the rapid price rebounds could occur “if the crowd starts to get worried and show FUD (fear, uncertainty and doubt).”
Cryptocurrency market cap excluding Bitcoin on the daily timeframe | Source: TOTAL2 chart on TradingView
Featured image from Shutterstock, chart from TradingView