The Altcoin bear trap is about to end, the Altcoin Parabolic season may follow

Cryptocurrency analyst Merlijn The Trader has declared that the altcoin bear trap has officially ended, marking the beginning of a potentially bullish altcoin season. He has drawn comparisons to historical market cycles, pointing out similar breakout structures that occurred in 2017 and momentum patterns reflecting the strong gainers of 2021.

Breakout signal reminds of past gainer phases

In a chart shared on social media, Merlijn highlighted the "Market Capitalization of Altcoin" trajectory, emphasizing three distinct breakout phases, each leading to exponential growth. The current setup, marked by a red box and green arrows, mirrors the early stages of previous altcoin frenzies, both occurring prior to major gainers in the cryptocurrency space.

Please note that this breakout structure is identical to the structure observed before the altcoin explosion in 2017, while the current price strength is similar to the gainers of 2021. This combination, according to him, indicates that the market is entering the initial phase of a parabolic move.

Encourage positioning early before the momentum accelerates

Merlijn's message is very clear: the opportunity to participate in the altcoin season is now open. He warns that those waiting for further confirmation may miss out on the biggest moves, emphasizing, “Join the altcoin season now... or you will be left behind.”

With the total market capitalization of altcoin surpassing 3.2 trillion USD and increasing by 4.68% in a day, the technical and psychological setup seems suitable for a strong expansion phase - a phase that history shows often occurs after bear traps are completed.

Analysts and investors are closely watching to see if this breakout will turn into a bullish altcoin season as seen in previous cycles or not.

Mr. Giao