The cryptocurrency market is entering a phase reminiscent of the pre-altseason period seen before the 2020–2021 cycle. Analysts note that support levels are being tested repeatedly without significant breakdowns, a pattern that has historically preceded altcoin rallies. The Federal Reserve's decision to end quantitative tightening marks a significant shift, as liquidity conditions often change following such pauses.
Currently, the market remains in a holding pattern, characterized by sharp price movements that shake out leveraged positions. While this phase is challenging, it has historically been followed by strong momentum once a stable base is established, suggesting potential for an upcoming altcoin season.
Crypto Market Poised for Altseason as Fed Ends Quantitative Tightening
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