Altcoins are starting to signal potential strength against Bitcoin, according to recent market analysis by JAVON MARKS. A long-term chart is provided that plots the total crypto market cap outside the top 10 coins compared to Bitcoin (OTHERS/BTC).
The chart shows that altcoins have consistently followed cycles of accumulation, correction, and growth. The chart also highlights the repeated three-wave corrections that often precede strong altcoin performance.
Altcoins took a long time to consolidate, forming a small correction pattern (1-2-3) from 2015 to 2017. This was followed by a quick breakout in 2017, as smaller coins performed better than BTC in an altcoin season. The same pattern repeated from 2018 to 2020, resulting in the altcoin boom of 2021.
As of today, the chart indicates that altcoins are in the late stage of another correction. The oscillator indicators indicate that altcoins are undervalued compared to BTC, suggesting that there might be an impending rally soon.
JAVON MARKS states that this might be the start of the next big altcoin cycle, where funds might flow from Bitcoin into the other coins.
Bitcoin is seemingly in another cycle of a bear market, according to CrypFlow. The market in 2025-2026 is similar to the market in 2021-2022. Bitcoin has reached a high of $120,000-$130,000 and has since hovered around the 50-week moving average (50 SMA).
In the past, when the price has fallen below the moving average after the cycle high, the start of a bear market has been triggered.
The Relative Strength Index (RSI), too, is another important indicator that confirms the pattern. The RSI indicator is currently at the 40-45 support zone, an area that has traditionally marked the change from an uptrend to a bear market.
According to CrypFlow, if the RSI fails to move higher than the 45-50 zone, the market could fall again before the start of the bull market.
If the market bounces from the current zone, it could signal the start of the bull market. BTC’s rallies could be short-term, showing the start of the bear market.
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The pattern for Bitcoin and altcoins is the same: BTC runs down and settles, and altcoins go down to their low and prepare for their move upwards.
In the past, altcoins have done well when they are at the bottom of their correction, and Bitcoin is not strong when the next cycle begins. JAVON MARKS says that the current setup is like the big runs in 2017 and 2021.
It appears that if historical trends continue, the end of the current altcoin correction could be the beginning of the next “altseason,” where funds flow from Bitcoin to alternative cryptocurrencies. This would be dependent on a breakout above current consolidation ranges.
Also Read: Ethereum Drops 10% as Bitcoin Weakness Pushes ETH Toward $2,120 Support
