Report: Altcoins Hold 'crucial' Support, Set For 'big Leg' Up, Says Analyst

The altcoin market is set to rally, based on technical analysis showing altcoins trading above critical support levels formed in October.

The altcoin market, which is valued at over $879 billion at the time of this writing, is poised for its next major leg up toward its previous all-time high of nearly $1.2 trillion, according to crypto trader and market analyst Michaël van de Poppe.

The Total3 market cap, which tracks the total market capitalization of the entire crypto token ecosystem, excluding Bitcoin (BTC) and Ether (ETH), has maintained critical support around the $784 billion level, Van De Poppe said.

The price of Total3 is also inching back toward the 365-day moving average, another critical support level, according to TradingView data.

In October, the Total3 hit an all-time high of nearly $1.2 trillion, but quickly retraced after a historic market crash rocked digital assets, causing the total altcoin market cap to decline by about 33% in a single day.

Investors, traders, and analysts are attempting to gauge the potential start of the next altseason, a period of sustained altcoin price appreciation, following a disappointing 2025 marked by changes to crypto market dynamics and historical patterns.

Related: Are altcoins coming back? Why 'Bitcoin season' has staying power in 2026

Investors typically rotated BTC gains into higher-risk altcoins during the latter parts of previous crypto market cycles, which were driven, in part, by Bitcoin's four-year cycle theory.

However, after a disappointing 2025 for BTC, which saw the yearly candle close red — a historic first for BTC in a post-halving year, the 4-year cycle theory has been invalidated, according to analysts.

The number of cryptocurrencies has also grown significantly. There are over 29 million listed coins on CoinMarketCap, all competing for limited investor capital and attention.

Source: CoinTelegraph