- Total altcoin market capitalization reaches $925.36B, establishing strong support at $600B level
- Technical indicators mirror December 2020 pre-rally market conditions
- RSI at 74 indicates robust market momentum while approaching overbought territory
The cryptocurrency market demonstrates the proper velocity gaining steam; altcoin market capitalization, excluding BTC and ETH, stands at $925.36 billion at TradingView. This development raises a likely intermediate phase for the overall crypto market as Fundamentals and technicals support rising activity in other digital assets.
Market Indicators and Technical Analysis
Increasing number of values in the current market structure indicates a continual upwards trend with the market sustaining above critical moving average lines. There is more strength to the bulls than bears currently as the relative strength indicator is approximately 74 although it is slightly overbought. This technical configuration resembles other patterns seen during previous market periods, especially the expansion phase in late 2020.
To date, market formation resembles December 20, when many altcoins started their strong upside movement. During that year and to early 2021, the market continued to rally with the overall altcoin market capitalization obtaining further growth.
Market Structure and Support Levels
Market data suggests stable areas of support slightly above $600 billion and areas of resistance slightly below $800 billion. Looking at the early support levels one can assume that there are strong prerequisites for the corresponding market fluctuations, as well as providing a relatively healthy market environment without sharp leaps in prices, but further stable growth.
Those interested in entering Altseason should have market sentiment, projects coming up and the technical aspects of the altcoins at the back of their minds. The diversification still is a priority as some of the altcoins might be very volatile. The better course of action, of course, is a more analytical and thorough approach, with emphasis on strong projects which have intrinsic lasting value. To do so, traders will also have to remain vigilant since altcoins markets are volatile, and any quick decisions may lead to a missed opportunity.
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