Here Is Why The 2020-2021 Altcoin-Season May Not Be Over Yet!

Hi, welcome to this analysis, we are looking at the coin-market-capitalization of the altcoin-market-cap, since the corona pandemic established all global markets have shown high volatility and the breakdowns where historical, it was a fundamental strong step that the markets could recover from such heavy breakdowns in a healthy manner in cryptocurrency, besides that there are still divergences in real economy and market especially stock market it is a big factor in stock market however it does not necessarily hold true in the cryptocurrency space as this asset class is more monetarily driven. As the market managed to recover from these heavy breakdowns it is now at a stepping stone where it is testing the old levels and when there can be successful encounters booked it can result in great volatile movements and also possible alt-seasons to be continued.

Pre-Corona-Highs Conditions:

As you can watch in my chart the price established the pre-corona-highs within the 116.193 B level marked in my chart in blue, these were the highs established before the heavy corona increase caused massive breakdowns in global markets so also in the cryptocurrency market, since then the market recovered and also managed to take out these highs and form new highs above it which is an important step to be done while other major indices still trading below these highs. Currently, the market is testing these and it will be a decision if they can hold sustainably or fall below them, together with other technical signs here is also building support which needs to hold considering further bullishness otherwise a pullback below these levels can cause increased bearish pace again which needs to not develop as the bullishness can only hold strong above the level.

Further Technicals:

Besides the major established pre-corona highs the chart is showing also other important factors which make the bullish case more likely, once it is the rising trendline marked in black where price already confirmed several times bullish to the upside, besides that it is also the 50-EMA marked in red which price is testing and bounces already in past times, furthermore it is the wave-count which can come to the correction end and set up the next key wave to the upside. All these factors coming together and forming a logical coherent support cluster here where the price has good potential to form the next movements and show a bullish outcome at the end.

Outlook:

Taking all these meaningful facts into consideration it has to be noted that the altcoin-market showed serious steps in recovering from the corona breakdowns and also forming new highs in the structure, together with the current technicals this is drafting a more bullish picture that can end up in a new great wave to the upside, in this case, it is from high importance that the market really holds the supports strong and manages to from substantial bounces from there, on the reverse perspective a close below the rising support line can possibly invalidate these bullish encounters however this is not the most possible scenario at the moment, at the end for traders it is important that keeping patience and waiting for the proper confirmations to show up will be a very smart thing to do as there are solid potentials when the market shows up with the proper movements.

In this manner, thank you for watching, support for more market insight, good day to you, and all the best!
"Success is a science, if you have the conditions, you get the result."

Information provided is only educational and should not be used to take action in the markets.