- Current patterns in the crypto total market capitalization chart (TOTAL), specifically an ascending triangle, suggested a major bullish trend is on the horizon.
- This sentiment is echoed in the Total 3 chart, which analysts also viewed as primed for a rally.
From January to March, the total market capitalization of cryptocurrencies soared by approximately 81.36%, reaching $2.721 trillion. However, this figure has since pulled back by 30.41%.
With the emergence of a bullish pattern, the cryptocurrency market is setting the stage for what could be the beginning of a substantial bull run.
An ascending triangle can lead to a rally, but with a condition
An ascending triangle is a technical trading pattern characterized by two converging diagonal lines that meet at a point, and is often a precursor of potential rallies in financial markets.
This pattern forms when the price oscillates between a horizontal resistance line and a rising support line, suggesting a consolidation before a possible breakout.
In a bullish scenario, typically indicated by an ascending triangle, the price might eventually break upward with a high tendency of reaching its previous upper peak or pushing further into new territory.
This has been observed with the TOTAL chart, which has consistently traded within similar patterns since 2020. At press time, TOTAL was at a critical point with a support level of 1.928.
If this level holds firm, it could provide the necessary buying pressure for the crypto market to ascend to new highs.
Additionally, another key support level exists at 1.661, which may become relevant if the 1.928 level is not sustained.
This lower level is important, as it aligns with the bottom of the ascending channel—a zone that has historically catalyzed upward movements in the market.
Source: Trading View
If this buying pressure is maintained at 1.661, it could propel the total cryptocurrency market cap back to its annual high of $3.009 trillion or potentially higher.
Conversely, if neither of these support levels holds, the market may enter a downturn, which could see the market cap decline to $1.475 trillion or even lower to $1.195 trillion.
Such a scenario would spell significant losses for Bitcoin and other cryptocurrencies and worsen the market sentiment.
Optimism is on the rise
According to a crypto analyst known as Moustache, altcoins are likely to see a major upswing.
He has observed that altcoins are already reacting positively, and this is strengthened by two major technical signals that hint at a bullish trend.
Moustache highlighted on the Altcoin market cap chart that prices have recently surged out of a nine-month falling wedge pattern, marking the first indicator of an impending rally.
Source: X
Adding to the bullish momentum is the formation of an inverse head and shoulders pattern — a pattern traditionally viewed as a strong predictor of upward price movement.
Such a significant breakout suggests that altcoins are poised to appreciate, entering a phase commonly referred to as “altseason,” a period marked by substantial gains across alternative cryptocurrencies.
Discussing the potential duration of this bullish phase, Moustache commented,
“I think we will have some good weeks/months ahead.”
AMBCrypto found Solana [SOL] as one of the cryptocurrencies likely to benefit significantly from this rally.
Solana can lead the next crypto surge
Solana has shown remarkable resilience in the volatile cryptocurrency market.
Despite a 15.42% decline over the current month, indicating reduced interest, Solana has maintained its bullish momentum with an impressive 566.98% increase over the past year.
This month’s decline appears influenced by broader negative market trends, yet Solana has managed to avoid further losses.
Read Solana’s [SOL] Price Prediction 2024–2025
Its performance on daily and weekly timeframes remains relatively stable, with a minor decrease of 0.26% and a gain of 0.32%, respectively.
Should the anticipated altseason commence, Solana is poised for a significant rally. It is expected to break out of its current consolidation phase and potentially surpass its all-time high of $259.90, setting new record levels.
