Cryptocurrency analyst InvestingScope has drawn market participants' attention to a major event signaling an upcoming altcoin season. The analyst also revealed the highs that the cryptocurrency market could reach as altcoins outperform Bitcoin during this phase.
Altcoin Season May Be Imminent as Golden Cross Flashes
In a post on TradingView, InvestingScope revealed that altcoins have formed a Golden Cross on a daily chart, the first time since just after the U.S. elections. He noted that the subsequent rally has set new highs for these altcoins, indicating that another altcoin season may be approaching. The analyst also predicts that the total cryptocurrency market could reach at least $4.03 trillion during this bullish phase.
He noted that since the Bear Cycle bottom, this is the fourth daily Golden Cross, and the minimum market increase around such formations is just over 73%. Therefore, the cryptocurrency market cap, currently valued at $3.39 trillion, could reach the target of $4 trillion during this altcoin season rally.
Altcoins are rallying again after Bitcoin's recent surge, nearing its all-time high (ATH). Ethereum's price reached $2,900, close to the psychological level of $3,000. Additionally, Solana's price also hit $170, the highest in the past 90 days. With two of the largest altcoins making these price jumps, this further boosts optimism that an altcoin season may be on the horizon.
Analyst Eric Balchunas from Bloomberg advised investors to prepare for a potential Altcoin ETF this summer, with Solana likely to take the lead. This development could be the catalyst that sparks the altcoin season, as the SEC has requested issuers to amend their S-1 filings.
Meanwhile, Ethereum ETFs recently reached a four-month high in inflows, with $240 million flowing into these funds on June 11. These funds have also seen 18 consecutive days of inflows as optimism grows over the SEC approving staking for these funds. This could be another catalyst for the altcoin season as Ethereum prices often lead.
The Breakout of ETH/BTC is Imminent
In a post on X, market expert Paul Barron pointed out that the breakout of ETH/BTC is imminent, a development that will usher in altcoin season. He claims that Altseason is preparing for a melt-up and the breakout of ETH/BTC is "committed." The expert added that with a 2.8% bullish market sentiment, ETH will be the leader.
Cryptocurrency analyst Mikybull Crypto also argued that Ethereum will lead the altcoin season. In a recent analysis, he stated that technically, ETH appears solid at the current level. The analyst claims that the next resistance at $2,800 will be cleared before climbing to a new high of $3,900. He added that Ethereum often performs well near the peak of the cycle.