Technical Chart Types and TOTAL3: The Key to Predicting the Next Altcoin Rotation

robot
Abstract generation in progress

Among the various types of charts used to monitor the cryptocurrency market, TOTAL3 stands out as an indispensable analytical tool. This indicator – which tracks the total market capitalization of all digital currencies excluding Bitcoin and Ether – is becoming the gold standard that traders use to forecast the next altcoin cycle.

Why TOTAL3 Is the Most Important Chart Type in the Altcoin Market

There are many types of technical charts, but TOTAL3 holds a special position among them. According to crypto analyst CyrilXBT, this indicator consistently maintains its fundamental upward trend, continuously forming higher highs and higher lows while remaining above the key support line. Importantly, market history has shown that when TOTAL3 signals positive indications from these charts, it often precedes strong capital rotation phases from Bitcoin into mid and small-cap altcoins.

Current Technical Structure: The Uptrend Still Holds

According to the analyst, TOTAL3 still “respects the structure,” meaning these charts still follow key technical levels. Sustainable support at current levels could be a negative signal for the continuation of the altcoin trend. If traders see these charts maintaining key support levels, it will create a positive sentiment, encouraging capital to flow back into smaller and mid-sized altcoin projects.

Breakout Scenario: Risks Traders Must Watch Out For

However, caution remains a wise strategy. A decisive break below the main trendline could trigger a domino effect across the entire altcoin sector. When these charts break through major support levels, it could lead to widespread sell-offs, with capital returning to safe-haven assets like Bitcoin or stablecoins. Market participants are currently monitoring every small movement at these technical levels like guards at a traffic intersection.

In conclusion, charts like TOTAL3 are not just ordinary analytical tools but serve as early warning systems for the entire altcoin market. Smart traders maintain a controlled optimistic mindset, closely monitoring signals from these charts, because they will determine the next direction of capital flow in the cryptocurrency market.

BTC1,37%
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Repost
  • Share
Comment
0/400
No comments
  • Pin

Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)