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- The Golden Cross, a significant bullish indicator, has re-emerged in the altcoin market, last seen during the explosive 2020 rally.
- Immediate support lies near $1.2T, while $1.5T marks the next psychological resistance level for altcoin market capitalization.
- Analysts see parallels to 2020, sparking expectations of a potential altseason and renewed market momentum in 2025.
The altcoin market has recently presented a great technical level that has attracted the attention of analysts and traders. The long-term bullish pattern last seen at the start of the year has crossed the short-term bullish pattern on the weekly chart of the Altcoin Market Cap.
People have now begun to look for any possible consequences that this development might have as the market moves towards the first quarter of 2023. The attached chart represents the movement of the altcoin market capitalization over years, with focus on two “Golden Cross” moments which might indicate major changes in market trends.
Analysing the Indicators,Trends and Levels
The first Golden Cross occurred on the lower chart in late 2020 at the beginning of the crypto bull market. In particular, altcoin market capitalization was about $100 billion at that time. Based on this signal, the market went through exponential growth to its recent figure of over $1.3 trillion in 2021.
The next Golden Cross has now emerged in early 2025. At this point, the market capitalization of altcoins is around $1.36 trillion. This signal is similar to the situation observed at the event in 2020, which means that there is a possibility of a trend toward the increase in the bullish trend.
The next levels of support for the immediate term can now be observed around the confluence of the MA200 and the price trendline at $1.2T.The altcoin market can also be seen with the next price resistance level at $1.5T, which is the next psychological level.
Implications for the Market
The emergence of a Golden Cross is seen by many as an indicator of strengthening market sentiment.It also marks a turnaround in sentiment with long-term prospects moving back into line with short-term positive sentiments. In the past, the formation of the Golden Cross predicted other growth indicators in the market as well.
During that time other crypto coins like Ethereum and Binance Coin some records were attained in terms of interest and investment. It would seem that the current setup is similar to those conditions, which increases the expectations for an “altseason” in early 2025.