Analyst Warns of ‘Biggest Bear Trap’ Before Explosive Altcoin Season

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BTC (ALTCOINS)

Crypto analyst Atlas has sounded the alarm, but not in the way most traders expect.

In a recent post, he suggested the market is entering what could be the “biggest bear trap” in years, a setup he says mirrors conditions seen in both 2017 and 2021, just before altcoins went on massive rallies.

According to Atlas, the current dip in the total crypto market cap may be luring investors into selling prematurely. In previous cycles, this phase – often marked by fear and uncertainty – preceded an aggressive rebound that propelled altcoins to record highs. “If history repeats, every $200 may turn into $75K,” Atlas claimed, highlighting the outsized potential for those positioned early.

Charts shared alongside his post compare the market structure of early 2021 with today’s price action. Both show a consolidation phase following an initial run-up, then a sharp shakeout – the so-called bear trap – before a vertical surge. In 2021, the total market cap more than doubled after breaking free from the trap, and Atlas believes a similar trajectory is possible now, with upside extending toward $5 trillion.

His takeaway for traders is clear: while sentiment may feel bearish, this could be the final flush before the next altcoin season ignites. The key, he suggests, is to recognize the pattern and prepare for capital rotation into high-potential projects before the broader market catches on.

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Kosta has been working in the crypto industry for over 4 years. He strives to present different perspectives on a given topic and enjoys the sector for its transparency and dynamism. In his work, he focuses on balanced coverage of events and developments in the crypto space, providing information to his readers from a neutral perspective.
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