Altcoins, 700% Surge Signal..."10-Month Golden Time Begins"

▲ Altcoin/ChatGPT generated image

As Bitcoin (BTC) is on the verge of breaking its all-time high, a large-scale fund movement is anticipated across the entire virtual asset market. The market is paying attention to the possibility of a full-fledged bull cycle beginning, with liquidity spreading from Bitcoin to altcoins.

Cryptocurrency specialized media Bitcoinist reported on April 10 (local time) that the next 6 to 10 months will be the critical period for this cycle. The analysis suggests that if Bitcoin breaks its previous high, a structure could form where market liquidity sequentially shifts to altcoins. This trend is considered a typical pattern that has repeated in the bull markets of 2017 and 2021.

The total virtual asset market capitalization, currently around $2.5 trillion, is projected to expand up to $10 trillion in this bull cycle. Crypto Patel, a virtual asset analyst, explained that indicators showing the relative strength of the altcoin market (excluding Bitcoin) are signaling a rebound from historical low levels. In particular, based on the OTHERS/BTC ratio reaching a support level similar to before past surges, he mentioned a potential upside of over 700%.

Fund flows are likely to unfold in stages. Initially, Bitcoin will lead the rally, attracting market attention, followed by Ethereum (ETH) continuing the upward trend. Subsequently, a cyclical structure will emerge where funds spread to mid-cap and small-cap altcoins. In the final stage, an overheated phase centered on memecoins could form, marking the peak of the bull cycle.

The market views the next approximately 10 months as a key investment period. The analysis suggests that as institutional and retail investor funds flow in simultaneously, the price volatility of small and medium-sized altcoins is likely to increase. In particular, changes in the market structure are accelerating as global asset management firms expand their interest beyond large assets to various projects.

Whether Bitcoin breaks its new all-time high is expected to be a key variable determining the direction of this cycle. Market participants are closely watching liquidity flows and cyclical patterns between assets to gauge entry into the next upward phase.

*Disclaimer: This article is for investment reference only, and we are not responsible for investment losses based on it. The content should be interpreted for informational purposes only.*