A new wave of bullish momentum may be building across the crypto market, as top analysts highlight a rare alignment of macro and technical signals favoring altcoins.
According to market strategist Michaël van de Poppe, gold’s recent pullback and consolidation could mark the start of a powerful “risk-on” rotation into digital assets. “Gold coming down and consolidating is heavily bullish for risk-on assets, including altcoins,” he wrote, noting that Ethereum (ETH) and Bitcoin (BTC) have historically moved inversely to gold.
Van de Poppe added that this setup has preceded previous altcoin expansions. “The best period for altcoins to thrive is when gold cools off,” he said, suggesting the market still has “one to two years of bull run left.”
Altseason Index Hits Generational Levels
Echoing that view, Ash Crypto pointed out that the Altseason Index, a measure comparing altcoin performance relative to Bitcoin, is now lower than during the FTX crash.
“This could either be a generational opportunity or we’re cooked. Nothing in between,” Ash noted. Historically, such deep readings have signaled early phases of broad altcoin rotations, where capital begins flowing out of Bitcoin into mid- and lower-cap assets.
The last time the index reached similar lows, in late 2022, it preceded one of the strongest six-month runs for alternative cryptocurrencies in recent years.
Cup-and-Handle Structure Signals Major Technical Breakout
Meanwhile, analyst Merlijn The Trader highlighted that the total altcoin market cap is completing a multi-year “cup-and-handle” pattern, a structure often preceding major breakouts.
“Altcoins are forming a multi-year cup and handle. Retests held. Bulls in control. This is not the time to look away, it’s the prelude to vertical liftoff,” Merlijn wrote.
The pattern, visible on the weekly chart of the altcoin market excluding Bitcoin and Ethereum, shows repeated successful support tests since mid-2023 and steady accumulation around the $1 trillion total capitalization mark.
Macro Setup Aligns with Market Rotation
If gold continues to stabilize while bond yields fall after today’s Federal Reserve decision, liquidity conditions could turn decisively risk-on. That combination, a weakening dollar, rising risk appetite, and technical breakout structures, has historically fueled explosive altcoin rallies.
As van de Poppe summarized, “If gold consolidates, risk-on assets take off. And this time, selective, strong altcoins are already showing strength.”
With analysts converging on the same message from different angles, macro, sentiment, and structure, the stage may be set for the first full-scale altseason since 2021.