Despite the recent altcoin downturn, one analyst believes a major indicator is flashing green and could kickstart a major bull run. Ash Crypto, the analyst in question, has over 2 million followers on X (formerly Twitter), and he believes the altseason is right around the corner after the Russel 2000, a US-based small-cap market-cap index, hit new highs recently.
The influencer tweeted:
“Russell 2000 is the biggest indicator for Altseason, and it’s about to hit a new all-time high.
Same Cycle, Same Breakout Point
– Both Russell 2000 and ALTS MCAP peaked in Nov 2021, marking the cycle top.
– Both entered a long bear market (2022–2023).
– Now, Russell is retesting its Nov 2021 highs, a key resistance zone.
– A breakout above these levels confirms the start of a major bull run in 2026.
History shows that the US Alts market (Russell 2000) and crypto ALTS often move in sync. If Russell breaks out, ETH and alts will follow it.
The crypto market is in a state of fear following the 10/10 flash crash, and all leverage is flushed, which means it’s a perfect scenario for a parabolic pump to start.
Must keep an eye on Russell as it will give an idea of how alts will move in the coming weeks.”
Image Source: XAccording to this graph, Ash Crypto is trying to show the similarity between the price trends of altcoins and the Russel 2000 and argue that the latter is a major signal of an incoming altseason. According to reports, there has been a 0.75 annual correlation between the Russell 2000 and altcoins since early 2024.
What is the Russel 2000?
The Russell 2000 is a market-cap-based index that details the performance of approximately 2,000 small-cap companies in the U.S. equity market. It is opposed to the regular stock market, which hosts some of the world’s largest publicly traded companies, aka blue-chip companies. In essence, it is an index that has historically attracted blue-collar workers seeking to capitalize on its volatility.
Liquidity plays a major role in the performance of the Russel 2000 index, which has seen a sharp spike in the second half of the current calendar year due to the ongoing QT relaxation. Currently, it is hovering around its ATH above 2500 points, a roughly 17% increase since June 11. The index is poised to go ballistic, and cryptos like Solana, XRP, BNB, and others could follow suit immediately.
The Russel 2000 index represents the stock market in the same way altcoins represent the larger cryptocurrency market. The small-cap digital currencies are more volatile and are made up of thousands of smaller projects, just like the Russel index.
The Future
So, when the Russel 2000 records a new ATH due to improving liquidity, analysts believe that the similarly positioned altcoins are also in for a major price rebound. 2025 has been a massive disappointment for an overwhelming number of these smaller coin projects, so traders are waiting for a major bullish activity in 2026 and looking for clues regarding it. Ash Crypto believes the Russel 2000 is the biggest such indicator out there, and the altcoin market is right around the corner.
Source: https://zycrypto.com/ripples-xrp-bnb-solana-to-go-parabolic-as-biggest-altcoin-indicator-hits-new-highs/
