- The OTHERS/BTC ratio has reached its wedge bottom exactly 1,743 days after a similar setup that preceded the 2021 altseason.
- TOTAL3 is nearing a 3.8-year resistance level with RSI breaking its downtrend, pointing to strengthening altcoin market momentum.
- Historical rhythm and structural alignment suggest altcoins may be entering an early accumulation phase similar to the 2020–2021 market setup.
The altcoin market may be entering a new phase of accumulation as key structural indicators suggest growing strength beneath Bitcoin’s dominance. Recent technical developments hint at conditions similar to those seen before the last major altcoin cycle.
OTHERS/BTC Ratio Mirrors the 2020 Pre-Altseason Setup
According to market analyst EᴛʜᴇʀNᴀꜱʏᴏɴᴀL, the OTHERS/BTC ratio, a measure of altcoin strength excluding the top ten assets, has reached a pivotal zone. The ratio has touched the bottom of its falling wedge formation after a prolonged decline, occurring exactly 1,743 days after the last similar setup.
That previous moment in December 2020 occurred at the outset of the 2021 altcoin bull run that followed a consolidation phase for Bitcoin. The similarity in the two patterns insinuates we may have a pivot in market structure.
Analysts note that this structural alignment could indicate the early formation of the next cycle’s foundation. As Bitcoin’s dominance stabilizes near its cyclical highs, smaller-cap assets appear positioned for renewed capital inflows. The pattern’s timing and symmetry lend credence to the possibility of another large-scale rotation into altcoins.
Technical Breakout Signals Early Momentum Shift
The analysis further identifies a smaller micro falling channel within the same structure, which has recently broken to the upside. This movement suggests a potential shift in short-term momentum and may mark the beginning of an accumulation phase.
Such early reversals have historically preceded broader market advances, where liquidity transitions from Bitcoin into mid- and low-cap assets. The confirmation of this breakout is viewed as a precursor to stronger participation across the altcoin spectrum.
The technical alignment between both macro and micro structures reinforces the view that the market may be entering a preparatory stage. If the historical rhythm remains consistent, the ratio’s position could signal the groundwork for an expansive market phase similar to that of early 2021.
TOTAL3 Chart Nears Breakout Above Key Resistance
In another observation, EᴛʜᴇʀNᴀꜱʏᴏɴᴀL found that TOTAL3, the market capitalization of all cryptocurrencies other than Bitcoin and Ethereum, is nearing an important resistance. The market cap is nearing a 3.8-year resistance on the monthly chart, while possibly breaking out above the 20EMA.
Relative Strength Index (RSI) also began to move up and has broken a long-term downtrend. The price action and momentum indicators like the RSI are now starting to support better conditions for a sustainable upward trend in the overall altcoin universe.
The structural patterns in OTHERS/BTC alongside TOTAL3 are reinforcing the idea that the framework for the next altcoin cycle is being established quietly. This extends across to the charts, while technical developments continue, the altcoin sector could see a transition from accumulation to expansion, replicating conditions that proceeded the prior bull cycle.
