The global crypto market may be entering its final phase of consolidation as a crypto analyst points to chart structures hinting at a potential expansion cycle ahead. Meanwhile, this comes as the crypto market begins a gradual recovery.
Market Structure Suggests Late-Stage Shakeout
Crypto analyst EGRAG CRYPTO recently speculated in an X post that the crypto market could be heading toward a bullish expansion phase. According to the analyst, the crypto market’s TMC (total market cap) chart structure suggests the market is approaching the final shakeout stage before a bullish expansion toward new all-time highs.
A broader view of the chart shows the progression of total crypto market capitalization since 2015, highlighting key cycle movements. Notably, the chart reflects a strong bullish bounce around the $2.21 trillion level, reinforcing the idea that long-term structural support remains intact.
Additionally, the chart’s projections suggest the total crypto market value could surge to $11 trillion in the coming cycle, representing nearly a 6x increase from current levels. However, the analyst added that the last shakeout could take the form of one last aggressive market flush designed to clear leverage and weak positions or a clean base formation in which price stabilizes before moving higher.
Analysts Divided on Crypto Market’s Next Major Move
Market analysts remain divided on the crypto market’s next trajectory. While some remain strongly bullish on the long-term outlook, others warn that additional downside could still be imminent before a sustainable recovery begins.
One such analyst is Rekt Capital, who, in a recent X post, speculated that the market should brace for further downside. According to the analyst, historical Bitcoin cycle behavior shows that whenever Bitcoin peaks during a bull market in Q4 of its post-halving year, it typically experiences a multi-month relief rally before transitioning into a broader bearish phase.
The analyst further noted that Bitcoin has followed this pattern across four consecutive market cycles. Based on this historical consistency, Rekt Capital urged investors to brace for potential market weakness in the coming months if the pattern continues in the current cycle.
Crypto Market Begins Recovery
Interestingly, the bullish thesis comes as the crypto market shows early signs of a gradual recovery, with selling pressure easing across major assets. According to CoinMarketCap data, top cryptocurrencies have recently posted modest rebounds. Bitcoin has climbed roughly 7.7% to trade above $70,000, while Ethereum has reclaimed the $2,000 region. Meanwhile, XRP has posted stronger gains, surging by over 12% to trade around $1.46.
The broader crypto market has also shown improvement, with global crypto market capitalization rebounding by approximately 6% to around $2.4 trillion. Meanwhile, it’s worth noting that this brief uptrend comes shortly after Tether minted $1 billion in USDT, a move widely seen as injecting fresh liquidity into the digital asset market and potentially supporting short-term price stabilization.
The CoinRemark Team
Evans Kelvin
