Ethereum to ‘attack’ its all-time high, lead altcoins at ‘upwards only’ market

The cryptocurrency market is poised for a significant turnaround, which could drive Ethereum (ETH) and altcoins to previous all-time highs. The shift happened as June 12’s U.S. Consumer Price Index (CPI) data came in lower than expected.

According to Michaël van de Poppe, CIO & Founder of MN Trading Consultancy, this could be a “massive sign” for altcoins and Bitcoin (BTC). Notably, the professional trader highlighted finance data as a leading indicator for this bullish stance in a post on X.

“The Dollar and Treasury Yields are dropping significantly as the markets are expecting rate cuts to be happening.”

— Michaël van de Popp

The Core CPI year-over-year (YoY), month-over-month (MoM), and the regular CPI YoY and MoM were all lower than forecasted. This positive data suggests that inflation is weakening, potentially leading to interest rate cuts by the Federal Reserve.

Macroeconomic data to boost an altcoins season

Earlier on June 12, Van de Poppe had stated that the altcoin bottom could be in, as multiple macroeconomic events, including the CPI news and the Federal Open Market Committee (FOMC) meeting, were set to impact the markets. He compared the potential rally to previous FOMC events, where cryptocurrencies saw significant gains after correcting before the event.

“It might even be the case that Bitcoin is attacking an all-time high in the coming weeks if there’s a dovish stance from the FOMC.”

— Michaël van de Poppe

The analyst also expects the Dollar and Treasury Yields to fall from the CPI data and the upcoming Producer Price Index (PPI) data, leading to the end of the altcoin and crypto market correction.

‘Once in a few years golden opportunity’

This outlook aligns with the long-term cycle analysis provided by Jelle, a known crypto and stock trader. According to Jelle, altcoins present investors with a “golden opportunity once in a few years,” as reported by Finbold.

“Altcoins present investors with a ‘golden opportunity once in a few years’ to ‘make a lot of money.’”

— Jelle

On that note, TradingView‘s “Crypto Total Market Cap Excluding BTC” index (TOTAL2) shows a pattern of accumulation zones lasting 450, 720, and now 650 days in each cycle. If this pattern plays out, an altseason is imminent and could bring huge gains for traders positioning at this point.

Van de Poppe believes that after the correction period, the crypto market will move “upwards only” with the potential approval of the Ethereum ETF in the coming weeks. Therefore, Ethereum could attack its all-time high during the summer.

“After that, it’s upwards only where the Ethereum ETF is likely going to find approval in the coming weeks and start attacking the all-time high during the summer.”

— Michaël van de Poppe

Notably, another known cryptocurrency trader and on-chain analyst, Ali Martinez, reported Ethereum whales continue to accumulate. During the recent dip, these highly capitalized addresses purchased over 240,000 ETH, worth $840 million, highlithed Martinez.

Whales have bought over 240,000 $ETH during the recent #Ethereum price dip, totaling around $840 million! pic.twitter.com/j5jnxJul4q

— Ali (@ali_charts) June 12, 2024

As the cryptocurrency market awaits the FOMC rate decision and Fed speech, traders and investors should keep an eye on the price action of gold, the dollar, and treasury yields. While an altseason seems likely, it’s essential to remember that past performance does not guarantee future results, and demand plays a crucial role in driving the altcoin market.

Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.

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