TOTAL3 Diagram shows critical signals – Altcoin market awaits direction guidance

Rekt_Recovery · 2026-01-30T14:17:28+00:00

The diagram of total cryptocurrency market capitalization, excluding Bitcoin and Ether, is being closely monitored as a key indicator for altcoin movements. Analyst CyrilXBT notes its solid upward trend, indicating potential altcoin rotations. However, a break below the trendline could trigger market weakness and lead to capital rotation back to Bitcoin or Stablecoins. Traders are cautiously optimistic as the structure serves as a warning system for future altcoin activity.

Rekt_Recovery

2026-01-30 14:17:28

Abstract generation in progress

The chart depicting the total market capitalization of all cryptocurrencies except Bitcoin and Ether is increasingly becoming a key indicator for market observers. Crypto analyst CyrilXBT has shown that this chart currently plays a crucial role in the altcoin sector. The technical picture remains solid: the chart maintains its structural upward trend, records higher highs and higher lows, and stays above the rising trendline – a pattern that has historically marked the beginning of altcoin rotation phases.

The Chart as an Early Warning System for Altcoin Movements

Currently, the chart is being closely watched by market participants. CyrilXBT emphasizes: “TOTAL3 continues to respect the structure." This is a critical point for confidence in the sector. A solid support level suggests that mid-cap and small-cap altcoins continue to show resilience. Historically, this trendline has served as a starting point for previous altcoin rotations – an indication that risk appetite could be building again.

Trendline and Structure – the Key Levels

However, vigilance is necessary. A break below the trendline could trigger broader market weakness and lead to sharper declines in the altcoin sector. This scenario would quickly reverse the bullish narrative. Traders are therefore monitoring the trendline as a guiding signal. A successful hold could reinforce optimistic sentiment and lead to renewed risk appetite. Conversely, a break could accelerate capital rotation back into Bitcoin or stablecoins – with potentially significant impacts on the mid- and small-cap segments.

What Traders Should Watch Now

In the current market environment, market participants remain cautiously optimistic. The intact structure of the chart is increasingly seen as an early warning system for the next major altcoin move. As long as the chart holds its support levels, the altcoin sector remains potentially bullish. The coming weeks will show whether the trendline holds – and thus whether a broader altcoin rotation is imminent or if a rotation back into Bitcoin and safe-haven assets begins.

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