Long-Term Altcoin TrendsWhen comparing the 2014 correction to the current one, several similarities arise. The altcoin market cap made a low slightly above the 0.5 Fib level, which was followed by a bearish cross between the 50- and 100-week moving averages (MA). In the first correction, the market cap made another higher low, followed by a bullish cross of the same MAs before beginning the upward move that continued until 2018. Currently, the altcoin market cap has made a higher low.
RetracementLooking at the 2019 bull market, we can see that the altcoin market cap has retraced all the way to the 0.786 Fib level at $65 billion. While it briefly decreased below it, it created a long lower wick and immediately moved upward. This is a sign of buying pressure. Furthermore, we can see a significant bullish divergence in the RSI — which has been developing since the beginning of September. Since it is present in higher time-frames, it suggests that an upward move might soon begin. To conclude, the altcoin market cap has shown some bullish signs — which are supported by a fractal comparing them to the previous upward move. However, they are not strong enough to warrant a confirmation. The lack of a trading pattern makes it difficult to predict a breakout.
Disclaimer: This article is not trading advice and should not be construed as such. Always consult a trained financial professional before investing in cryptocurrencies, as the market is particularly volatile.
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In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions.