Market analysts suggest that an altcoin rally could commence in June. According to these analysts, the cryptocurrency market is likely to reach a local bottom in June. However, they emphasize that Bitcoin needs to break out of its current range for an altcoin rally to materialize.

Nansen’s lead research analyst, Aurelie Barthere, attributes the recent altcoin decline to the impact of the halving. The analyst asserts that while altcoins might experience a potential local bottom, a true altcoin bull run hinges on Bitcoin’s price making an upward move.

Barthere stated to Cointelegraph:

“Altcoins are high-beta cryptocurrencies. They thrive and appreciate when market sentiment is highly bullish. However, since mid-March, the sentiment among crypto investors has been less enthusiastic.

Additionally, while BTC’s price consolidates around the 20-day exponential moving average, altcoins are experiencing more volatility.

For altcoins to outperform, we need an upward break in BTC and a clear resumption of the BTC uptrend.

If BTC re-enters bull mode, altcoins could also see upward movements.”

Echoing the Bitcoin-altcoin relationship, Qubic Labs Accelerator analyst Alex Onufriychuk also weighed in.

Highlighting the historical correlation between altcoins and BTC price, the analyst believes altcoins could reach their local bottom levels around June due to continued pressure from market sentiment and Bitcoin price, coupled with the decline in inflows into US spot BTC ETFs:

“Due to the lack of sufficient new liquidity from spot Bitcoin ETFs in the US and Hong Kong, there’s a possibility for BTC and altcoins to find their local bottom points by June.

This suggests that the consolidation period could extend. Then, the rally could begin.”

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