The Crypto Market (TOTALCAP) bounced after a nearly 7% weekly decrease.
The Altcoin Market Cap returned to its previous resistance and is validating it as support.
Has the crypto market bottomed, and if so, who will lead the next rally?
The crypto market started the week with a sharp drop but has since shown signs of resilience, holding firm at key support levels.
Altcoins, in particular, are testing crucial support zones that could serve as a launchpad for the next leg higher.
Let’s dive into the charts to see whether this pullback has run its course—or if more downside is still ahead.
Why Is Crypto Up Today?
The crypto market cap has fallen by nearly 7% since its high of $4.08 trillion on Sept. 18.
The Sept. 18 high also created a lower price than the August all-time high.
Despite its decline, the crypto market has regained its footing in the past three days, creating a diagonal and horizontal support level.
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TOTALCAP is most likely in wave four, so the triangle fits perfectly with the movement’s outline.
The alternative count is also bullish. In it, TOTALCAP has finished wave four and the first portion of wave five with a bounce at the 0.618 Fibonacci retracement support level.
If this is true, the crypto market will rapidly rally toward a new all-time high soon, as noted by sub-wave three (black) of wave five.
The 1.61 external Fibonacci retracement of the most recent drop creates a likely target for the top of wave five at $4.46 trillion, which will be a new all-time high price.
What About Altcoins?
The altcoin market cap (ALTCAP) shows a similar chart.
The price has returned to its previous resistance level and attempts to validate it as support.
Like TOTALCAP, ALTCAP is likely in the fifth and final wave of its upward movement, which could end at a new all-time high of $1.30 trillion.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Valdrin Tahiri is a cryptocurrency analyst and reporter at CCN, specializing in technical analysis with a focus on Elliott Wave theory, on-chain metrics, and fundamental research. He brings over seven years of experience in the crypto space as both a trader and writer.
He discovered cryptocurrencies in 2017 while earning his MSc in Financial Markets at the Barcelona School of Economics, which sparked a deep interest in blockchain and market dynamics. Since then, he’s contributed to top crypto outlets like BeInCrypto and CoinGape.
Valdrin also served as Community Manager of BeInCrypto’s Telegram group for three years, helping grow it into one of the largest crypto communities worldwide. His expertise in market structure and price patterns allows him to break down complex trends into clear, actionable insights.
He’s published thousands of articles covering altcoins, Bitcoin cycles, and macro trends.
