- Benjamin Cowen believes the recent altcoin market pump aligns with prior expectations.
- A continuation of the pump might push it out of line with expectations.
- Cowen says the TOTAL3 pattern is consistent with its pre-halving behavior.
Renowned cryptocurrency market analyst Benjamin Cowen believes the recent pump in the altcoin market aligns with prior expectations. However, continuing the trend with multiple weekly closes and higher valuations might push it out of line with expectations.
In a recently uploaded video, Cowen referenced his previous prediction that if Bitcoin bounces off its bull market support band, it could lead to the altcoin market (TOTAL3) testing its bull market support band. According to Cowen, the primary reason Bitcoin has such market development is seasonality.
Cowen noted that the market fulfilled his previous prediction, with Bitcoin bouncing off its support band, TOTAL3 retesting, and even crossing above its support band. He also observed that such behavior by TOTAL3 is consistent with its pre-halving year patterns. In 2019, a similar scenario occurred when TOTAL3 trended below the bull market support band until January 2020, ahead of the halving-influenced bull run.
According to Cowen, TOTAL3’s early cross above the support band does not confirm an altcoin season. He noted that only a follow-through with a consecutive weekly close above the support band would confirm a bullish breakout. Otherwise, the break above would be considered a false move, like in previous examples.
TOTAL3 is the market capitalization of all cryptocurrencies except Bitcoin and Ethereum. Crypto traders and analysts use TOTAL3 to study the markets and gauge investor sentiments in alternative digital assets apart from the biggest two, Bitcoin and Ethereum. They use it to predict the altcoin season and the development of the larger crypto market.
TradingView data shows that TOTAL3 surged from $331.96 billion to $378.42 billion after the court ruled in Ripple’s favor in its case versus the Security and Exchange Commission (SEC). That reflects a 14% rally in less than 24 hours. However, the value had dropped to $367.04 billion at the time of writing.
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