TLDR

  • Cup-and-handle pattern spotted on altcoin market bi-weekly chart suggests imminent altseason launch

  • Potential $5.4 trillion altcoin market valuation (564% growth) projected if breakout occurs

  • Analyst Cas Abbé cites altcoin ETF approvals, Fed rate cuts, and regulatory clarity as catalysts for altseason

  • Bitcoin dominance must fall below 54% for altseason to begin, according to Coinbureau’s Nic Puckrin

  • Total crypto market recently reclaimed the $3 trillion mark, with altcoins accounting for 36.1% of investments

The cryptocurrency market may soon experience an altseason, according to technical analyst Gert Van Lagen. A bullish cup-and-handle pattern has formed on the altcoin market bi-weekly chart, signaling a potential breakout.

This pattern consists of a U-shaped price movement (the cup) that occurred between 2022 and mid-2024, followed by a small descending channel (the handle) seen in 2025.

During the cup phase, investors typically accumulate assets following an extended market downturn. The handle represents a breakout and retest zone that could pave the way for altseason.

Altcoin Marketcap [2W]
🟨 Accumulation
🟧 Breakout + Retest
🟩 Altseason
🔁 pic.twitter.com/KubpPKSewF

— Gert van Lagen (@GertvanLagen) May 3, 2025

For the altseason to begin, the altcoin market cap must break above the pattern’s neckline, currently at $813.18 billion. If this happens, Van Lagen projects the total altcoin valuation could reach approximately $5.4 trillion before 2026.

This would represent a 564% market growth from current levels.

Key Conditions for Altseason

While technical patterns provide one perspective, other analysts point to specific market conditions needed for altseason to materialize.

Cas Abbé, a crypto analyst and Web3 growth manager, acknowledges the altseason has been delayed. He attributes this to insufficient liquidity caused by token unlocks and the impact of the memecoins craze driven by Pumpfun.

However, Abbé remains optimistic about an upcoming altseason for three reasons. First, he expects multiple altcoin ETF approvals in Q3/Q4 of 2025, which could attract institutional investments similar to Bitcoin ETFs in 2024.

Second, he anticipates Fed rate cuts beginning in June, along with the termination of quantitative tightening measures. These actions would create a risk-on environment favorable for altcoin growth.

Third, Abbé expects regulatory clarity by Q3/Q4 2025, allowing banks to engage with the crypto market and providing massive liquidity.

Nic Puckrin, CEO of Coinbureau, offers a complementary view. He states that altseason typically occurs 320 days after a Bitcoin halving, a timeframe we’ve now reached following the April 2024 halving.

Puckrin identifies three crucial signals needed for altseason: Bitcoin dominance must fall below 54%, Bitcoin must break above its current all-time high without draining market liquidity, and the Federal Reserve must end quantitative tightening and confirm rate cuts.

The altcoin season index currently sits at 21, indicating that Bitcoin still outperforms most altcoins. Historically, this index must exceed 75 to confirm an altseason.

The total crypto market recently reclaimed the $3 trillion mark, with altcoins representing 36.1% of all investments. Market trading volume is valued at $68.83 billion, though down 16.82%.

While experts disagree on timing, the technical patterns and market conditions suggest an altseason may be approaching, presenting potential opportunities for investors in the altcoin space.

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