The altcoin market may be about to move in a significant way.
Many people focus almost exclusively on bitcoin, myself included, for a number of reasons.
One being that it potentially offers the most use cases currently and is the market leader by a long shot.
However, altcoins also could serve a very interesting purpose, possibly even supplanting bitcoin as the king of crypto some day.
Many of them also already work much better as a form of money than bitcoin does currently.
Putting all of that aside though, altcoins likely offer a better possibility of outsized returns.
What do I mean?
Bitcoin may offer investors a 2X-3X return from currently levels of a relatively short period of time, but some altcoins may offer a 10X-20X return over that same time period.
The altcoin market is currently worth roughly $100 billion.
Looking at the trend from the altcoin market highs, we can see that it is has been basically all downhill:
(Source: https://www.coindesk.com/why-traders-should-chart-the-entire-crypto-market-cap/)
As you can see, the altcoin market just recently bumped up against the year long down trend line and appears to have been rejected yet again.
The longer this trend line continues the harder it is to break.
However, on the flip side, when it does eventually break the more significant that break becomes.
What gets me excited:
If you zoom in a bit and look at the daily chart we see a slightly more encouraging picture for the altcoin markets.
Take a look at this:
(Source: https://www.coindesk.com/why-traders-should-chart-the-entire-crypto-market-cap/)
We are seeing a possible inverse head and should pattern, which is a bullish pattern.
A break to the upside of the neckline would likely yield a move up of about 31%.
No guarantee that this pattern will unfold to the upside, but we are also in a good time of the year seasonally.
The stage is set, now we just need some follow through!
Stay informed my friends.
