Analyst Says Altcoins Soon to Break Downward Trend

In Brief

• Analysts say altcoins may be nearing a trend reversal with breakouts in coming days.
• Extremely low altcoin RSI levels suggest that such breakouts may be close.
• Ethereum’s weakness remains a key factor that could delay or limit the altcoin breakouts.

Shedrach Kongvong 2025-12-26

Crypto assets have suffered an extended downtrend that has lasted for months, but relief may be on the way soon. Altcoins which make up the bulk of the crypto market may be getting ready to break out and end the downward trend.

Top crypto analyst Michaël van de Poppe said the first breakouts above the 20-Daily Moving Average (MA) are likely to start showing up in the coming days, which will then trigger an upward trend. If this happens, it will be the first time that many altcoins break out of the downward trend in a long time.

After nearly six months of downtrending markets for #Altcoins, I think that we'll start to see the first breakouts above the 20-Daily MA in the coming days.

An example is $ARB, which is on edge of fighting that crucial indicator and therefore, start trending upwards again. pic.twitter.com/WA1Yp2yxv2

— Michaël van de Poppe (@CryptoMichNL) December 26, 2025

Ending the Long Bear Market

The crypto market has been in a long bear market for the past few months. The downward trend has exhausted many of the assets, causing them to fall below levels that were seen as important support. Recent data revealed that altcoin Relative Strength Index (RSI) has fallen to a new all-time low, meaning altcoins have hit their lowest in a long time.

According to analysts, the all-time low RSI also indicates that altcoins could be about to reverse the downward trend and enter a rally upward. Poppe may be referring to this overdue reversal which crypto investors have waited for. This will mean that a reversal may be due for the general crypto market since altcoins make up the bulk of the market.

However, Bitcoin has historically determined the direction the crypto market goes. Unfortunately, the leading crypto asset remains stuck in a range between $80,000 and $90,000 that has not been broken for long. Unless this range is broken, it may still be difficult for altcoins to break the 20-Daily MA and usher in a new uptrend except in an altcoin season.

Top Altcoin Still Struggles

Altcoin rallies are characterized by an unusual outperforming of Bitcoin by altcoins, usually led by Ethereum. Unless things change in the coming days, Ethereum is not doing well enough to lead the breakouts and trend reversal that Poppe expects in altcoins.

A recent analysis showed that the asset may be at risk of a drop to $2,000 which has not been seen in a while. It has also failed to hold above the critical $3,000 price level that analysts say is required to climb to higher prices.