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Altcoins Surge Past Critical Resistance – Is This the Breakout Traders Have Been Waiting For?

Altcoins Surge Past Critical Resistance – Is This the Breakout Traders Have Been Waiting For?

Author:
Newsbtc
Published:
2025-07-17 16:00:22
16
1

Altcoins aren’t just bouncing—they’re staging a full-blown revolt against bearish sentiment. After weeks of sideways action, the sector just bulldozed through a key technical level. But can it last?

Here’s what’s fueling the move—and why skeptics are already sharpening their knives.

The breakout no one saw coming

Forget gradual climbs—this rally came out swinging. Major altcoins ripped through resistance zones like they were made of wet tissue paper. Ethereum, Solana, and BNB led the charge, with some smaller caps posting double-digit gains in hours.

Trading volumes tell the real story: a 40% spike as the breakout hit. That’s not just algo bots—that’s real money chasing momentum.

Liquidity or lunacy?

Market makers are loving this volatility (their spread profits certainly are). But retail traders? They’ve been burned before. The last three ‘breakouts’ turned into bull traps within 72 hours.

This time feels different—or at least that’s what every overleveraged degen is telling themselves.

The cynical take

Let’s be real: half these altcoins still don’t have working products. But when has that ever stopped crypto markets? As one hedge fund manager quipped: ‘We’re not investing in tech here—we’re frontrunning the greater fool.’

Still, charts don’t lie—and right now, they’re screaming bullish. Whether fundamentals agree? That’s a problem for future buyers.

Altcoins Reclaim 200-Day Moving Average

Altcoins are showing renewed strength, and according to top analyst On-Chain Mind, the technical landscape is beginning to shift in their favor. In a recent chart shared on X, he highlighted that the altcoin market has once again broken above its 200-day moving average, a level that historically separates bearish phases from sustained uptrends.

Altcoin Market reclaims 200-day MA | Source: On-Chain Mind on X

However, On-Chain Mind cautioned that this development has occurred multiple times during this market cycle, often followed by weeks of sideways chop and volatility rather than immediate upside. Still, this time may be different. With ethereum rallying above $3,400—its highest level since mid-January—and Bitcoin consolidating above key support zones, conditions appear more favorable for a broader altcoin breakout.

What makes this moment particularly important is the price structure across many altcoins, which has turned decisively bullish after months—and in some cases, years—of deep consolidation. Tokens across sectors such as DeFi, LAYER 1s, and infrastructure are forming higher lows and showing clean breakouts on higher timeframes, indicating growing demand and fresh capital rotation.

Altcoin Market Cap Breaks Out Past $1.4 Trillion

The Total crypto market Cap excluding Bitcoin (TOTAL2) has rallied to $1.42 trillion, posting a +9.68% weekly gain and reaching its highest level since March 2025. This powerful move confirms a breakout above the 50-week, 100-week, and 200-week moving averages, signaling broad-based strength across the altcoin market.

TOTAL 2 showing bullish strength | Source: TOTAL2 chart on X

One key technical milestone is the bullish crossover of the 50-week SMA above the 100-week SMA. Meanwhile, the 200-week SMA—now positioned NEAR $880 billion—has acted as strong support during previous corrections and continues to provide a solid foundation for the current uptrend.

Ethereum’s breakout above $3,450 has been a key driver, supported by renewed retail activity and bullish sentiment. If TOTAL2 holds above $1.4 trillion, the next resistance target is the $1.6 trillion level, last tested earlier this year. A sustained MOVE toward that range could confirm the beginning of a long-awaited altseason.

Featured image from Dall-E, chart from TradingView

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