Analyst and trader Kevin Svensson believes that the most explosive phase of the altcoin cycle is yet to come.
In a new strategy session, Svensson He tells With his 81,300 YouTube subscribers, based on historical precedence, TOTAL3’s chart may soon see an astronomical breakthrough.
The TOTAL3 chart tracks the market cap of all cryptocurrency assets except Bitcoin (BTC), Ethereum (ETH), and stablecoins.
“[In 2021] Bitcoin has reached a really high price and is just starting to chop. And when it was on the move, TOTAL3 went to the moon.
Svensson expects that the most explosive season for alts will begin around the 40th week after the halving event in April 2024, when miners’ rewards will be halved, which will be around the end of January.
“So, in this cycle right now, altcoins have not currently reached the 40th week after the halving. We haven’t even reached the all-time high breakout level. In the last cycle, when I broke that high, the price was 170% for TOTAL3 as a whole, up by 170% Maybe it won’t reach one percentage, but still, there is a big step ahead…
The most upward part of the cycle hasn’t started yet, hasn’t even started yet. So we have several more weeks to get to where Bitcoin can get really bullish and continue to go higher. Altcoins will also be looking for a big pump over the next couple of months, in my opinion.
Looking at his chart, the analyst suggests that TOTAL3’s market capitalization could reach around $2 trillion for the peak of the cycle, up from $982.2 billion currently.
Svensson also believes that the level of dominance of the major cryptocurrency (BTC.D) will begin to decline soon.
BTC.D is the ratio between the market capitalization of BTC versus the market capitalization of all cryptocurrency assets combined.
“What you’ll notice in earlier cycles is that right after the 40th week – the halving happens, after 40 weeks – that’s when [Bitcoin] Dominance is already beginning to decline…
“Once we get into that green zone after week 40, then I think Bitcoin’s dominance will start to decline significantly, and altcoins will take over.”
Looking at his chart, the analyst suggests that BTC.D could fall to around 42% within six months.
At the time of writing, BTC.D stands at 58.01%.
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