the next few months are going to be lifechanging and here's why we'll be talking about ethereum's price action in a bit of detail because that's what dictates money flow to a large extent into midcap and also small cap altcoins but we'll be talking about some of the historical tendencies in altcoin market cap as well so these next months are going to be quite pivotal for seeing some really great return in your portfolio so subscribe to the channel for more videos like this in the future like this video if you enjoy content like this going forward
and let's dive right into it and before we dive into it a quick message from our sponsor our sponsor for today's video is bit Unix and they are a really great crypto exchange for you to consider for your daily crypto trading and investing they are a no kyc no VPN Futures exchange and the liquidity is on par with the top exchanges users can trade over 250 trading pairs with up to 125x leverage without restriction and to celebrate our partnership with bit Unix we're running a very special offer from November 27th until December 7th you can
sign up using my link in the description down below and deposit usdt tether to get 20% rebate the rewards will be distributed on the very next Working Day and for more information check out the link in the description down below thank you very much bit Unix for sponsoring this video and let's Dive Right In to ethereum's price section you can see here that this is the major macro structure that ethereum is in right now and in the past we've seen upside wicking Beyond this major resistance which would really send price back down into 2,800 so
we're currently rejecting from here at around 3,650 and we need to see a weekly close Beyond here to get us back into $4,000 and that's a major psychological region of resistance because we've seen rejections from here here as well but it's weekly closes and successful retests here that have enabled move moves to essentially new alltime highs so 4,500 would occur once we actually manage to weekly close inside here and retest this as support that would enable a revisit of old alltime highs and probably upon breaking 4 and 1 half K rally into essentially new alltime
highs and price Discovery so that all needs to start with a weekly close Beyond here however because until then we're still just consolidating technically speaking inside this major macro Market structure but breaking out would enable a massive influx of money flow into smaller altcoins and ethereum breaking out to new alltime highs would be a major Catalyst on the technical side in making all these other altcoins rally quite substantially and what we're seeing from allcoin market cap is we saw a breakout from this macro wedging structure a few weeks back and we've been reclaiming level by
level every single time in this uptrend weekly close here retest here enabling further upside and now we're seeing a weekly close and retest here and a successful retest here would enable upside from 315 billion to 425 billion because have a look here when we weekly closed and retested this region we saw expansion in altcoin market cap to new alltime highs essentially but whenever we failed to retest this level of $315 billion we'd see quite a bit of a pullback here as well quite a bit of a pullback and of course in the bare Market here
we managed to hold for a little while before actually seeing price crash down but if we're able to hold here for a few weeks that would enable a move into $425 billion and worst case scenario we might see a repeat of mid 2021 whereby we reject from $315 billion back into $250 billion which would probably be the bottom and then we'd see oin market cap appreciation towards the upside but at the moment this curious and really important in uh retest is in progress and a successful retest here would enable further upside so price strength confirmation
here and stability here is essential to seeing altcoin market cap rally to highs we haven't really seen since late 20201 and one of the best things about altcoin market cap is that in every single cycle we break to new all-time highs so in 2015 this was the top for altcoin market cap and then in late 2016 we broke to new High rejected a little bit and then rallied to new all-time highs by essentially 2017 and you can see that in 2018 2019 we saw that massive crash but by 2021 we'd really easily eclipsed old alltime
highs in allcoin market cap and saw allcoin market cap rally to highs really new alltime highs for the first time or at least the consecutive time because we always see new highs and new alltime highs in allcoin market cap as the cycle matures and here old alltime Highs are at around 425 billion maybe a little bit higher than that at approximately $500 billion and that's a major psychological resistance but we're going to break that over time and it's just a matter of when not if in fact we are very close to revisiting $500 billion dollar
and by the end of this ball Market we will have rallied to quite some substantial highs so just to give a context as to where we could go in terms of breaking old alltime highs for allcoin market cap the last time we broke those highs we rallied from approximately $50 billion to $500 billion so that was a 10x in altcoin valuations and altcoin market cap growing was it's pretty phenomenal and to say that we're going to 10x and rally uh from 500 billion to to you know the moon so to speak that doesn't take into
account that maybe we're seeing diminishing returns in this cycle and so we have to consider that we could see diminishing returns and even if we do see diminishing returns we can really see some level of altcoin valuations and altcoin market cap going to sub trillion dollars for example and we can talk about this in future videos so of course subscribe to the channel for more of them but we'll be talking about a lot of these metrics going forward but the fact that we've seen phenomenal price appreciation and valuation increases in altcoins in the previous cycle
then doing a picture perfect and copy paste scenario just like this that would be pretty phenomenal to see but we have to take into account Don returns and even if we half that then still we can get quite close to a trillion dollars maybe even slightly higher than that which is why the next few months are really going to be important they're really going to be pivotal in terms of what we can see and have in our portfolios the price appreciation the valuation increases and if we think about this major resistance that's the major resistance
that we need to break before rallying to Old alltime highs and historically we'd reject here and we'd re reject here as well in the bare Mark we' reject as well and here we rejected as well and just notice how the last time we rejected Ed from that region it it was actually in the bare market and we generated this sort of pullback and then in this cycle when we rejected we generated a much shallower pullback which is showcasing to us that this resistance is actually weakening as a point of rejection so could we see a
shallower pullback at worse like I mentioned earlier on on the video $250 billion at worst that would be the worst case scenario but what if we don't even have to reject in a shallow way what if this is as much as that resistance can actually reject altcoin market cap it will be really important for altcoin market cap to Simply hold above here because continued price stability and stability here in the altcoin market cap metric would enable price appreciation and valuation increases across the entire altcoin Mark cap and I think once we see ethereum confirm a
breakout from its macro Market structure then that's going to enable phenomenal money flow not only into ethereum but also into other altcoins and if we think about this micro Market structure and thinking of it as a from a TA principle level if we were to see a measured move for this breakout and just copy paste essentially that measured move because that's typically how you measure these sort of potential breakouts based on ta then that would actually get us into that 4 and 1/2k region for a retest of old all-time highs and of course maybe we
do reject here from here initially but that would probably see a rejection that would be much shallower maybe it would get us back into 4K for that psychological resistance to finally turn into one of support maybe indeed we saw a rejection here rejection here just like we saw a rejection here and here as well but maybe we do in in the future get a weekly close and a retest just like here then rally to 4 and a2k maybe reject from here and then instead of losing 4K as support maybe we actually retest it in the
midterm as as well as support and get back to 42k and finally break into price Discovery so in the short term this retest will be quite important but then even if we see a rejection at 4 and a2k and get into 4K for a retest then that could actually be the Catalyst to get us to price Discovery and it's a breakout in ethereum that's really going to start triggering altcoin market cap increase altcoin money flow valuation increasing in the altcoin space and of course slow lowly but surely new alltime highs in our coin market cap
and if things really turn out to be pretty crazy then we get over a trillion and if we account for diminishing returns then we get close to a trillion maybe sub trillion but we'll be talking about this topic and we'll be looking at different metrics in a lot more detail so subscribe to the channel to keep a breast and stay a breast of this analysis because we're going to be talking about altcoins and a lot of detail in the future so subscribe to the channel like this video if you enjoy content like this going for
for I'm Rex Capal and I'll speak to you in the next one speak to you soon
