The altcoin market is showing signs of life after a brutal late-May correction that saw Bitcoin tumble to $30,000. With BTC recovering to approximately $35,800 by June 6, 2021, prominent crypto analyst Michaël van de Poppe believes a new altseason could be on the horizon, spotlighting three crypto assets he says are ready to ignite.
TL;DR
- Altcoin market cap holds above the 21-weekly moving average, a bullish signal according to analyst Michaël van de Poppe
- Curve Finance (CRV) approaching key breakout level against BTC, on the verge of retaking 100-day and 200-day moving averages
- KAVA recovers to $5.00 after crashing to $2.50 in late May, showing higher highs and higher lows pattern
- Ethereum holding critical $2,600 support, eyeing a push toward $3,400 if it can break $2,900 resistance
- Solana leads altcoin gains with a 47.92% weekly surge, trading at $42.31
Altseason Thesis Remains Intact
Despite the dramatic sell-off that rattled crypto markets in late May 2021, van de Poppe tells his 103,000 YouTube subscribers that the broader altcoin bull run is far from over. The key indicator he points to is the total altcoin market capitalization, which continues to hold above the 21-weekly moving average (21 WMA) — a level that historically signals whether the uptrend has momentum or is losing steam.
“We are still acting above the 21 WMA, meaning that the chances of us continuing the grind to the upside are significant,” van de Poppe explains. “Many altcoins are going to make new highs in their USD and Bitcoin pairs. The altcoin market cap currently holding above the 21 WMA is a very bullish trigger and a good signal of the momentum we have.”
The analyst goes further, suggesting that the summer of 2021 could deliver outsized returns for altcoin holders who accumulate at current levels. His conviction stems from the observation that the structural uptrend in altcoins has not been broken, even though the late May crash wiped out billions in market value.
Three Altcoins Poised for Breakouts
Van de Poppe identifies Curve Finance (CRV) as his first pick. The automated market maker and DeFi protocol is approaching a critical juncture in its Bitcoin pair (CRV/BTC). According to the analyst, CRV is on the verge of flipping back above the 100-day and 200-day moving averages, which would provide a strong support base for a breakout from its current accumulation range toward new highs.
His second pick is KAVA, the cross-chain lending platform. After crashing from highs above $8.00 down to approximately $2.50 during the May correction, KAVA has staged a strong recovery back to the $5.00 level. Van de Poppe highlights that KAVA/BTC is printing higher highs and higher lows, indicating a momentum shift that could carry the token into a new cycle against Bitcoin.
The third asset in his spotlight is Ethereum itself, which van de Poppe describes as “the key momentum indicator for altcoins.” ETH is holding the $2,600 support zone well and is attempting to push through resistance at $2,900. The analyst notes that repeated tests of this resistance level are weakening it, setting the stage for a potential surge toward $3,400.
Broader Altcoin Market Shows Strength
Beyond van de Poppe’s picks, the broader altcoin market paints an encouraging picture as of June 6, 2021. Binance Coin (BNB) trades at $393.82 with a 20.88% weekly gain. Cardano (ADA) sits at $1.68, up 6.40% over the past seven days. Dogecoin (DOGE), fueled by continued social media attention, holds at $0.3718 with a 23.02% weekly increase.
Perhaps the most striking performer is Solana (SOL), which has surged 47.92% in just one week to reach $42.31. The high-performance blockchain’s impressive rally underscores the appetite for Layer 1 alternatives even as Bitcoin works through its post-crash recovery phase.
Other notable altcoins showing resilience include Polkadot (DOT) at $24.20 (+18.21% weekly), Chainlink (LINK) at $27.55, and Polygon (MATIC) at $1.58. The total cryptocurrency market capitalization stands at approximately $1.54 trillion, with altcoins collectively representing a significant share of that value.
Bitcoin Death Cross Looms in the Background
While altcoins show promise, a bearish cloud hangs over Bitcoin. Analyst Benjamin Cowen warns that the 50-day and 200-day moving averages are converging toward a “death cross” — a technical pattern widely interpreted as a strongly bearish signal. According to Cowen, Bitcoin would need to climb by approximately $800 per day on average through June to avoid this crossing, which would put BTC back at $60,000 by early July.
However, van de Poppe downplays the significance of the death cross, arguing that the two moving averages can briefly cross before uncrossing as Bitcoin resumes its rally. He is more focused on the general support area between $29,000 and $32,000 as the critical zone to hold.
Why This Matters
The tension between Bitcoin’s looming death cross and altcoins’ bullish structure creates a unique market environment. If BTC can stabilize and begin recovering, the altcoins currently holding above their key moving averages could be primed for explosive moves. For traders and investors, van de Poppe’s analysis suggests that the current consolidation phase may represent a final accumulation window before a potential summer altcoin rally. The fact that the total altcoin market cap remains above the 21 WMA despite a 45% Bitcoin crash is a testament to the underlying strength of the alt market in mid-2021.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Cryptocurrency investments carry significant risk. Always conduct your own research before making investment decisions.