Altcoin Bottom Imminent – Early Movers Set for Massive Windfall, Says Top Analyst
Crypto's sleeping giants are stirring. After months of bloodletting, altcoins show classic reversal signals—and the sharks are circling.
The capitulation playbook
Market cycles don't whisper their turns. The 80%+ drawdowns across mid-cap tokens reek of forced liquidations—the kind that historically precede violent rebounds. When weak hands fold, smart money pounces.
Risk calculus for degens
Yes, this could be another dead cat bounce. But compare today's fear levels to March 2020 or December 2018. Retail's gone radio silent—just as institutional wallets start accumulating. The math's simple: maximum fear equals maximum opportunity (and yes, that includes the usual bagholders).
The cynical kicker
Wall Street still can't decide if crypto's dead or the next big thing. Meanwhile, the OGs know the drill—buy when CNBC stops laughing.
- According to analysts, when the altcoin index is below 25 then it is a buy signal.
- The prevailing fear within the altcoin market augers well with a bigger rally.
- There are historical precedents that early holders may gain 10 times their investment.
Merlijn The Trader, one of the most famous traders, believes that a significant change is brewing in the altcoin market, and it could potentially be what will usher us in a “new altseason.”
He indicated that the Altcoin Index has fallen to less than 25, which is a pointer to a situation of intense fear in the marketplace. Historically, this level has often been followed by strong rallies, and Merlijn reminded followers that when sentiment is this low, it’s usually the best time to buy.
“Everyone’s calling for lower, but 99% is always wrong,” he wrote, encouraging patience and confidence. He further explained that this is the same market condition in the past, which paid as much as 10 times the money invested for those who were early enough.
When the Altcoin Index Drops to 25, a Buy Zone Is Triggered
This trend in these cryptocurrencies is further explained in a chart by Merlijn. The zone marked as Time to Invest in Altcoins is clear in the image and it includes the times when the Altcoin Index is below 25. These lows have been highlighted as points of buying since there have been huge rallies after these lows.
Source: Merlijn The Trader
On the other hand, the chart also has an upper zone labeled as the period of selling these coins, where the index rises above 75. This is usually appropriate once a sharp rally is experienced, and at this point, the altcoins WOULD be overbought.
The bottoms he is referring to are a match to existing conditions, which means that anyone who invests now and holds could be positioned for potentially huge profits when the market reverses.
Van de Poppe Stays Steady Amid Altcoin Price Lows
Supporting this sentiment, another respected analyst, Michaël van de Poppe, stated that these alternate crypto assets have been quiet for the past three months and are currently retesting their recent lows. He believes this phase is part of the natural market cycle and doesn’t see a reason to adjust his strategy.
Van de Poppe is confident that the biggest bull run is still ahead, reinforcing the idea that this lull in the market could be the calm before a storm of gains. Together, both experts are hinting that we may be at the final stages of the altcoin correction.