Altcoins rebound; what ignited the engine of the rise?

The altcoin market is on the verge of a major breakout, but obstacles remain. After the recent crash that took Bitcoin’s price below $104,000, the crypto market is struggling to stabilize, and the prices of popular altcoins are also rising.

However, Bitcoin dominance has once again increased and the market structure is reminiscent of Q3 2019, when Bitcoin dominance first experienced a breakout and then altcoins followed suit.

However, it should be noted that the eventual correction of Bitcoin dominance could also affect altcoins. However, unlike the 2022 bear market, the current fundamentals of altcoins are stronger.

DeFi returns, the development of second-layer ecosystems, and real-world applications of the networks have increased the long-term appeal of these cryptocurrencies. Analysts say that the market value of altcoins has reached a support level and a rapid rebound is likely. To start a sustainable upward trend, macro and regulatory factors must occur simultaneously, including the end of monetary tightening policies, interest rate cuts, gold and silver stabilization, acceleration in tokenization, and the approval of altcoin ETFs. Only then can the altcoin market enter a coherent bullish cycle from sporadic rallies.

It is noteworthy that in the past 24 hours, Ethereum has grown by 4.5%, approaching the $3,900 range, and top altcoins such as Ripple, Solana, and Binance Coin have recorded increases of 6.01%, 5.48%, and 8.47%, respectively.