Analyst Jamie Coutts says the signs of an altcoin turnaround are building but not yet confirmed, with Bitcoin stuck in the low $60,000s since February. He has started buying top Layer 1 and blue chip DeFi tokens while holding cash back for a possible dip later this year.
Coutts wants to see Bitcoin break above the high $70,000s before he treats the downtrend as reversed. Until that happens, he calls the case a probability game rather than a done deal.
Bitcoin has been stuck in the low $60,000s since February, following what Coutts describes as a capitulation low. Price has mostly moved sideways since then, with one counter-trend rally of about 30% — behavior he says is normal for Bitcoin bear markets.
What the weekly RSI divergence signals
Coutts points to weekly RSI divergences as his go-to signal for spotting when a downtrend loses steam — price keeps falling while momentum indicators stop confirming the drop. He calls it a warning sign, not a green light.
He flagged the opposite pattern in September and October of last year, when Bitcoin kept hitting new highs while momentum quietly weakened underneath. That divergence preceded the market’s eventual top and the 50% to 55% decline that followed. Now he watches for the mirror image: divergence building at the bottom, waiting to be confirmed by an actual higher high and higher low.
Where Coutts is putting money to work
He has already started adding top Layer 1 tokens and blue chip DeFi tokens, positions built with what he describes as his largest cash reserve in years, held throughout most of 2026. Some of those DeFi protocols currently trade 70% to 80% below their highs, and he says he specifically targets names showing relative strength against the broader market rather than simply buying anything that has fallen hard.
But he is not fully deployed. He says he still holds cash in reserve for a possible dip later this year, citing ongoing concerns about global liquidity — specifically, he thinks debt is growing faster than liquidity itself. That mismatch, he believes, could eventually force higher interest rates or intervention from central banks.
Coutts stays bullish on Solana
Coutts says he remains bullish on Solana, despite being accused of favoring ETH more heavily in recent commentary. For now he stays focused on established Layer 1s and DeFi blue chips rather than chasing smaller, more speculative tokens, including a few names in the AI sector he described as interesting but secondary to his core focus.
Source: Coinpedia Fintech News
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