A closely followed analyst is forecasting when altcoins can recover from their current downturn and enter into another “hype cycle.”
The pseudonymous analyst known as Rekt Capital tells his 450,400 followers on the social media platform X that altcoin market cycles tend to happen in quarterly waves, with the last cycle recently peaking this month.
According to Rekt, altcoins may bottom out in late May or early June before entering a new “hype cycle” in July.
“Altcoins are following the plan…
Altcoins bottomed in early February.
Altcoins sold off around the BTC Halving.
Altcoin to bottom early summer.”
Source: Rekt Capital/X
Looking at Bitcoin, Rekt says despite BTC’s correction from the highs, he is still of the viewpoint that the crypto king is in a bull market. According to the trader, BTC will dip just low enough to sow doubt in the minds of bulls before reversing.
“Bitcoin will retrace deep enough to convince you that the bull market is over
And then it will resume its uptrend.”
The trader expects a consolidation between $60,000 and $70,000 for several weeks before continuing higher after this month’s halving, when miners’ rewards are cut in half.
“Bitcoin is still technically in the transitional period between the pre-halving retrace phase of its cycle (dark blue circle) and the re-accumulation phase (red)
But this retracement is all about setting up the next phase: the re-accumulation phase (red).
This recent rejection from $70,000 has given us a better idea of where the re-accumulation range high resistance is (red horizontal).
Now it’s all about figuring out where the re-accumulation range low will be (green horizontal).
For now, the -18% pre-halving retrace has potentially marked the bottom of this re-accumulation range.
If ~$60,000 continues to be the bottom… BTC may consolidate between $60,000 and $70,000 for the coming weeks going into the halving and beyond.”
Source: Rekt Capital/X
At time of writing, Bitcoin is trading for $66,360, up over 2% in the last 24 hours.
Generated Image: Midjourney
