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Analyst Says Altcoins Close to Entering ‘Hype Cycle’ Stage That May Trigger Rallies Over Coming Weeks

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A closely followed analyst who nailed the pre-halving Bitcoin correction last year thinks altcoins are close to igniting big rallies and outperforming BTC.

Pseudonymous analyst Rekt Capital tells his 531,500 followers on the social media platform X that the altcoin market is at a stage where it is being overlooked by most traders.

But the trader notes that the prevailing bearish sentiment is setting the stage for altcoins to ignite upside bursts, leaving many traders on the sidelines.

“February has been a strong month for altcoins in both 2023 and 2024.

Could altcoins enjoy a strong February for the third year in a row?

If so, then altcoins should be close to their ‘Lowest Hype’ areas before preceding upside over the coming weeks.”

Analyst Says Altcoins Close to Entering ‘Hype Cycle’ Stage That May Trigger Rallies Over Coming Weeks

Source: Rekt Capital/X

Based on the trader’s chart, he seems to suggest that altcoins are presenting prime entry opportunities for investors before alts top out in April.

Looking at Solana, the trader believes that SOL is in the process of flipping a strong resistance level into support after closing the previous trading week at around $252.

“Solana has managed to not only reclaim its re-accumulation range but also break out from it.

On the cusp of fully confirming a breakout from its re-accumulation range.

Just needs a weekly close above $250 followed by a possible post-breakout retest.”

Analyst Says Altcoins Close to Entering ‘Hype Cycle’ Stage That May Trigger Rallies Over Coming Weeks

Source: Rekt Capital/X

At time of writing, SOL is trading for $260, above the trader’s weekly resistance level.

Generated Image: DALLE3

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