- The total altcoin market cap has been consolidating within a bullish ascending triangle pattern for the past four years,
- Analysts suggest the market may undergo a final shakeout before a significant breakout.
- While some major altcoins show mixed performance, the overall pattern points to a potential major rally ahead.
After a massive, four-year consolidation period, the altcoin market may be entering a “final shakeout” phase before a significant and sustained breakout, according to a growing number of technical analysts.
Analyst Ash Crypto shared this development today, suggesting the altcoin market could be approaching a significant breakout. The observation excludes Bitcoin and Ethereum, instead focusing on the broader altcoin segment.
The Four-Year Ascending Triangle
According to Ash Crypto, the altcoin market has formed higher lows since 2020 while meeting consistent resistance at a key horizontal level. This configuration forms an ascending triangle, a bullish chart pattern.
Related: Is the Crypto Winter Ending? Ethereum Leads a Quiet Altcoin Revival
The accompanying chart clearly outlines this pattern, with the triangle’s base extending from early 2020, and the price pressing against resistance over multiple attempts.
The ‘Final Shakeout’ Thesis
Moreover, the post suggests the market may be experiencing a “final shakeout,” a temporary dip meant to flush out weaker positions before a decisive move higher.
The idea of a four-year consolidation suggests that altcoins have been building strength over time. While prices have fluctuated within the range, the overall trajectory of higher lows indicates growing demand. Such a pattern suggests accumulation, a phase in which buyers gradually increase their positions.
Notably, the last significant altcoin rally occurred during the 2021 bull run, after which prices cooled and entered a lateral phase.
The Start of ‘Altseason 3.0’?
Supporting the bullish sentiment, analyst Danny noted that the Altcoin Index has just entered this critical phase. He suggested that strategic investments made now could yield exponential returns. He shared a chart depicting the start of Altseason 3.0. This point marks a new phase in the crypto 4-year cycle that mirrors the explosive rallies of 2017 and 2021.
Broader Market Sentiment Remains Mixed
Notably, the total altcoin market cap, excluding Bitcoin and Ethereum, is currently valued at approximately $823.1 billion. Over the past week, the market cap has dipped by about 5.8%, reflecting ongoing volatility as the market copes with macroeconomic uncertainties.
Among the top-ranking altcoins, BNB is trading around $645, a 0.8% down in the past day, increasing its loss to 3.3% in the past week. Solana is priced at approximately $145.6, showing a daily decline of about 1.3% in the same period.
Related: Cardano vs. Solana: Which Altcoin Has Better Growth Potential by 2026?
In contrast, XRP holds steady at $2.16, recording modest intraday gains. Cardano (ADA) trades near $0.60, with a 2.4% dip, while Tron (TRX) is up 0.9%, priced at $0.2757. These movements suggest a mixed trend among major altcoins, even as the broader market cap attempts to solidify its breakout.
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