- Market analysts predict a potential altcoin rally in June, contingent on Bitcoin breaking out of its current range.
- Altcoins have been hit hard since the halving, with a potential local bottom expected in June.
- Nansen’s lead research analyst, Aurelie Barthere, emphasizes that a Bitcoin price surge is necessary for an altcoin bull rally to commence.
Analysts predict a potential altcoin rally in June, contingent on Bitcoin breaking out of its current range. This article explores the relationship between Bitcoin and altcoins, providing insights from industry experts.
Altcoin Rally Predicted for June
Market analysts are pointing towards June as the potential start of an altcoin rally. They suggest that the crypto market will reach a local bottom in June, with a breakout from Bitcoin’s current range being a necessary precursor for the altcoin rally to begin.
Altcoins Hit Hard Since Halving
Nansen’s lead research analyst, Aurelie Barthere, states that the altcoin market has taken a hit since the halving, entering a downward trend. Even if altcoins see a potential local bottom, Barthere suggests that a Bitcoin price surge is necessary for an altcoin bull rally to commence.
Bitcoin Price Surge Necessary for Altcoin Rally
Barthere explains, “Altcoins are high beta cryptocurrencies. They thrive when market sentiment is bullish, and that’s when they rally. However, since mid-March, sentiment among crypto investors has been less enthusiastic. Furthermore, while the BTC price consolidates around the 20-day exponential moving average, altcoins are experiencing more volatility. For altcoins to perform better, we need an upward breakout in Bitcoin and a clear resumption of the BTC uptrend. If BTC returns to bullish mode, we could see rallies in altcoins.”
Historical Relationship Between BTC and Altcoins
Alex Onufriychuk, an analyst at Qubic Labs Accelerator, also evaluated the relationship between Bitcoin and altcoins. He noted that historically, altcoin prices have been directly related to the BTC price. As market sentiment and Bitcoin price continue to be under pressure due to reduced entries in US spot BTC ETFs, Onufriychuk suggests that altcoins could reach local bottom levels around June.
Conclusion
Analysts predict a potential altcoin rally in June, but this is contingent on Bitcoin breaking out of its current range. The altcoin market has been hit hard since the halving, and a Bitcoin price surge is necessary for an altcoin bull rally to commence. The historical relationship between Bitcoin and altcoins suggests that this is a plausible scenario. However, as with any investment, risks remain and investors should proceed with caution.
