Altcoin Market Targets $2.05T as RSI Cycle Signals New Rally

The altcoin market cap has rebounded near $887.55 billion, with projections suggesting a possible upward movement toward the $2.05 trillion resistance. Charts indicate this rebound aligns with past market cycles, raising hopes for a significant multi-month crypto rally. Key Fibonacci resistance levels have been identified at $1.35T, $1.65T, and $2.05T, highlighting the roadmap for the next potential bull phase.

According to TradingView data shared by market analyst BACH on November 11, the altcoin market cap is forming a bullish structure after hitting crucial Fibonacci retracement zones. The chart reveals a rising parallel channel featuring clear resistance and support levels. Past market peaks often occurred at the upper boundary of this channel, followed by corrections retracing toward the 0.5 and 0.618 Fibonacci levels. The latest market setup suggests a potential bottoming phase supported by a strong trendline rebound.

BACH highlighted recurring market emotions such as disbelief, fear, and RSI bottoming, which have historically preceded substantial recoveries. Each instance of these setups has triggered what he described as a "massive crypto rally," suggesting the market may be approaching another strong expansion phase. Similar patterns in past cycles signal that broader market growth may follow these emotional lows.

The Relative Strength Index (RSI) is showing repeated bottoming signals closely linked with sharp market reversals. RSI readings have consistently bounced near oversold levels before entering major uptrend phases. Currently, the RSI sits around 46.9, a level also observed during similar rallies in mid-2023 and early 2024. The chart marks previous RSI troughs with circles, signifying accumulation phases that led to strong multi-month uptrends. This behavior reflects market sentiment cycles dominated by fear before recoveries.

Analysts interpret these RSI and sentiment patterns as signs of a broader market cycle repetition. The total cryptocurrency market capitalization, currently below $1 trillion, mirrors the conditions seen before previous expansions that pushed valuations to all-time highs. Should the RSI recover beyond midline zones, it would further validate the technical case for a sustained rally.

Charts featuring Fibonacci projections estimate sequential resistance levels at 1.272 ($1.35T), 1.618 ($1.65T), and 2.0 ($2.05T). These levels align with historical breakout magnitudes observed during earlier bull markets. Analysts have noted that once market capitalization breaches the 0.5 Fibonacci retracement level, rallies tend to accelerate, fueled by renewed investor confidence. A breakout above the median channel line could trigger momentum-driven investments, positioning altcoins at a critical juncture.

The setup leaves investors with a pivotal question: Can the altcoin market maintain this rebound and reclaim the $2 trillion mark before 2026? The potential for a 100% growth from current levels demonstrates a significant upside if historical cycles repeat. However, market dynamics and shifting investor confidence remain critical factors that could define this trajectory.