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The virtual asset market has entered a historic low zone, with pessimism reaching an extreme, yet technical indicators that previously signaled explosive rallies are reemerging simultaneously, heralding the beginning of massive capital rotation.
Cryptocurrency analyst Dan Gambardello emphasized in a video released on his YouTube channel on February 10 (local time) that futures products for Cardano (ADA), Chainlink (LINK), and Stellar (XLM) have been listed on the CME Group, diagnosing that institutionalization of the market is advancing at an unprecedented pace. Gambardello analyzed that the current situation, in which the total cryptocurrency market capitalization chart has fallen back to levels seen at the bottom of the 2014–2015 bear market, could represent a once-in-a-generation opportunity for investors.
Major institutions such as Bitwise also maintain an optimistic stance, viewing the current downturn as an ideal accumulation phase within the four-year cycle. In particular, Gambardello pointed out that current market data closely resembles November 2016, when Bitcoin (BTC) dominance was extremely compressed. Historically, such compression in Bitcoin dominance has been interpreted as a precursor to explosive volatility in the altcoin market.
The Purchasing Managers’ Index (PMI), a key macroeconomic indicator, has surpassed 50, signaling entry into an expansion phase—an outlook that is expected to serve as a strong tailwind for the digital asset market. In past periods marked by stimulus measures and increased liquidity, Bitcoin dominance declined and altcoin seasons followed, a pattern that may well repeat. The stimulus intentions of U.S. President Donald Trump’s administration and potential shifts in Federal Reserve monetary policy are seen as key drivers that could pull the crypto market out of its years-long contraction phase.
According to proprietary risk model analysis, Bitcoin’s risk score currently stands at 23, remaining within a typical accumulation zone seen just before the onset of a bull market. Ethereum (ETH) is showing a risk score comparable to that of November 2016, suggesting an optimal entry point for long-term value investors. Meanwhile, discussions on virtual asset legislation are intensifying at the White House, with major financial institutions including JP Morgan and Bank of America participating. The potential passage of a U.S. crypto market structure bill is being cited as a catalyst capable of unlocking trillions of dollars in liquidity.
The digital asset market is currently at an inflection point where widespread public fear clashes head-on with strengthening indicators. Gambardello expressed confidence that both Bitcoin and altcoins are consolidating energy near historic lows, and that a powerful rally will begin once regulatory clarity and an economic expansion cycle align. Rather than reacting to short-term price fluctuations, investors are advised to focus on long-term trend shifts indicated by data and strategically allocate assets in preparation for the next major bull market.
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