- RSI oversold levels in 2022, 2023, and 2025 aligned with market bottoms, leading to notable altcoin recoveries afterward.
- TOTAL3 rebounded from $400B to $800B, emphasizing support after steep declines during earlier bear market phases.
- Crypto market cap excluding Bitcoin stabilized near $1.61T, holding above $1.55T–$1.60T support despite volatility.
Altcoins have reached heavily oversold conditions, with multiple indicators suggesting a potential recovery phase across the broader sector. According to analyst Merlijn The Trader, the RSI is at levels that historically marked market bottoms.
He noted that TOTAL3, which tracks the total crypto market capitalization excluding Bitcoin and Ethereum, has recently rebounded from a local low. At the same time, the OTHERS/ETH ratio, which measures the performance of altcoins against Ethereum, is showing early signs of reversal. These conditions have previously preceded strong rallies across the altcoin market.
RSI and Market Bottoms Align Once Again
The RSI has consistently identified altcoin lows, with oversold readings appearing in July 2022, mid 2023, and now again in 2025. Each of those periods aligned with significant market bottoms, which then gave way to sustained recoveries.
The latest RSI levels, dropping below 30 to 35, indicate renewed selling pressure exhaustion and lead to a potential momentum reversal. Historically, a move back above the 40 to 50 range confirmed the start of stronger upside momentum.
TOTAL3 Recovery and Market Outlook
TOTAL3, which excludes both Bitcoin and Ethereum, has followed a clear pattern through multiple bear market phases. It peaked near $1 trillion in late 2021 before enduring steep declines through mid 2022 and mid 2023.
Recently, it bounced off a low near $400 billion and has since advanced toward $800 billion, showing renewed strength. The structure indicates that altcoin valuations are holding above key zones, supporting the link between RSI oversold levels and market stabilization.
TOTAL Market Cap Consolidates Near $1.6 Trillion
Alongside these signals, the broader crypto market cap excluding Bitcoin, measured on the daily timeframe, is at $1.61 trillion. This level shows a strong recovery from $1 trillion in April, representing growth of more than 60%.
The market has held above the $1.55–$1.60 trillion support zone despite volatility. The RSI now is at 57.04, slightly above its signal line of 52.27, suggesting moderate bullish momentum.
Meanwhile, the MACD lines are near convergence, indicating a key level. If strength continues, analysts note the next resistance targets are near $1.70–$1.75 trillion, with a potential retest of $1.8 trillion.
