As expectations of an altcoin season mount, a new technical analysis of the Bitcoin Dominance (BTC.D) draws striking parallels between the 2021 and 2025 market cycles, aiming to determine whether altcoins are on the brink of another bull run. Historically, Bitcoin Dominance has been a key indicator in predicting the likelihood of an altcoin, as a decline in BTC.D often signals a shift in investors’ focus on alternative cryptocurrencies. Historical Bitcoin Dominance Signal Possible Altcoin Season Crypto analyst Luca on X (formerly Twitter) is questioning whether history is repeating itself as similar past market trends emerge in this current cycle. The analyst shared two parallel charts, tracking the Bitcoin Dominance market capitalization and the start of the altcoin season. Related Reading: Bitcoin Price Dominance And Altcoin Season: What The Sudden Volatility Means For The Market The chart compared the BTC.D market cap in the 2021 and 2025 cycles, revealing an eerily similar pattern that unfolded during the bull market in 2021. Back then, many investors had anticipated the start of the altcoin season immediately after BTC.D hit a high-timeframe resistance. However, to the surprise of the broader market, Bitcoin’s dominance deviated above the resistance, leading to a mass sell-off in altcoins. Fast-forward to 2025, Luca believes this narrative is playing out again. As BTC.D dropped below the 61% resistance zone, the market hoped for a rotation into altcoins. Instead, BTC.D surged even higher, deviating again and triggering a mass capitulation of altcoins. Luca’s Bitcoin Dominance chart shows the resistance zone where BTC.D struggled to break through in 2021 and 2025. In both cycles, BTC.D deviated from this resistance level. However, after the shift in 2021, Bitcoin dominance fell sharply to the green zone between 58% and 60%. This zone corresponded with a major rally that sparked the start of the altcoin season. In the 2025 BTC.D chart, Luca highlighted the next green zone as around 54.56%. If historical trends repeat, BTC.D may drop to this low level and potentially trigger a similar rally to kickstart this cycle’s anticipated altcoin season. At the moment, all eyes are on BTC.D as the market awaits its next move, which could define the fate of altcoins in this bull market. The analyst notes that the key question remains: will history repeat itself, or will the 2025 cycle run a new course? Analyst Says 2025 Altcoin Season Is Out Of Reach In another X post, a crypto analyst, Brucer, argues that the altcoin season may not occur during this cycle. He outlines three primary reasons for his foreboding analysis, underscoring that during past cycles, the altcoin season was driven by major events like the 2017 ICO boom. However, each cycle varies in intensity and may not repeat the same conditions that led to past altcoin seasons. Related Reading: Is Altcoin Season Here Already? VanEck Answers As Bitcoin Price Struggles Below $100,000 Secondly, Brucer noted that altcoins are currently struggling to regain previous highs while Bitcoin’s dominance continues to rise, now sitting above a 60% market cap. Lastly, the analyst suggested that an altcoin season 2025 is unlikely unless significant macroeconomic changes occur. Featured image from Unsplash, chart from Tradingview.com
Bitcoin continued dominance has remained a defining feature of the current market cycle, with the leading crypto asset receiving most of the inflows into the market. At the time of writing, Bitcoin’s dominance over the entire market is at 60.3% after a 4% increase in the past 24 hours. Notably, crypto analyst Rekt Capital pointed to the 71% dominance level as an important threshold for crypto investors still awaiting an altcoin season. Reaching 71% Is Critical For An Altcoin Season The Bitcoin dominance chart, which tracks Bitcoin’s market capitalization in relation to the entire crypto market, has consistently risen throughout this cycle, even during periods of price corrections. Bitcoin’s dominance has been fueled by institutional demand after the introduction of Spot Bitcoin ETFs and market dynamics favoring BTC as a potential reserve for countries. Related Reading: Altcoin Season Paused Forever? What The Rising Bitcoin Dominance Says Will Happen A direct consequence of this prolonged Bitcoin dominance has been the sluggish performance of the altcoin market. Although some altcoins like Solana and XRP have managed to outperform Bitcoin for brief periods, the capital has consistently rotated back into Bitcoin, preventing a sustained altcoin market breakout. However, some analysts believe a significant shift could be very close, with Bitcoin dominance now sitting at a multi-year high. One such analyst is an analyst known as Rekt Capital on social media platform X. His analysis reveals a historical pattern where altcoin seasons emerge whenever Bitcoin dominance reaches a key threshold and subsequently faces rejection. According to a Bitcoin dominance chart that accompanied his analysis, Bitcoin’s dominance has been rejected around the 71% level three successive times in the past. Interestingly, each rejection has been marked by Bitcoin’s dominance falling over multiple monthly candles, as altcoins outperformed Bitcoin throughout those months. The most recent occurrence of this pattern was during the 2021 bull market. At the time, Bitcoin dominance briefly spiked above 72% before reversing course. Once rejected, it entered a five-month downtrend, ultimately stabilizing around the 40% level as altcoins took control of the market. Will 71% Trigger A New Altcoin Season? Although Bitcoin’s dominance is not at 71% yet, it is still steadily inching upward towards this level. Particularly, Bitcoin’s dominance is at 60.3%, and there are no signs of slowing down. This means that investors banking on a repeat of rejection around 71% might have to wait longer for the dominance to even reach this level. Related Reading: Bitcoin Forms First Daily Death Cross On Dominance Chart In 4 Years, What To Expect Next If the 71% dominance level eventually becomes a local top again, historical patterns suggest altcoins could experience rapid gains. However, unlike in previous cycles, Ethereum may not take the lead in an altcoin season this time around. The leading altcoin has struggled to gain momentum this cycle as recent market dynamics have diminished its dominance in relation to other altcoins like XRP, Solana, and Dogecoin, which are witnessing more interest among crypto traders. Featured image from LinkedIn, chart from Tradingview.com
The crypto market is gearing up for an explosive altcoin season, which could see major cryptocurrencies skyrocket to new highs. After experiencing a surge in December, altcoins entered a correction, leaving their next move uncertain. However, Captain Faibik suggests that the recent pullback was merely a “trailer” for the main event, with February potentially marking the start of the next rally. Bull Pennant Signals Altcoin Season Boom In a recent X (formerly Twitter) post, Captain Faibik suggested that the altcoin season may be well on its way, as market indicators like a recently formed Bull Pennant show positive signals that support this prediction. The analyst revealed that in early December 2024, the crypto market had experienced a significant uptrend before entering a deep correction phase. Related Reading: Altcoin Season Enters 140-Day Golden Window, What Does Bitcoin Dominance Have To Do With It? Captain Faibik said this decline was necessary as it allowed the market to cool off after significant gains. Usually, when a cryptocurrency experiences strong growth and a subsequent price drop, it tends to flush out weak hands in the market and reset overheated indicators. In the case of the crypto market, the pullback is seen as a healthy market reset that could set the stage for an even stronger uptrend. Moving on, the crypto analyst noted that the market’s correction is almost over, paving the way for the next bullish wave. He shared a chart representing the total crypto market capitalization excluding Bitcoin (BTC) and Ethereum (ETH) on a 1-day time frame. Currently, the crypto market’s price action is forming a Bull Pennant characterized by converging trendlines. A breakout from this bull pattern is anticipated, potentially leading to a $1.4 trillion market capitalization target for the broader crypto market. The analyst has indicated that February could be a bullish month for altcoins if the Bull Pennant pattern breaks upwards. He warns investors to buy and hold their bags while waiting for this supposedly explosive altcoin season. Historically, the altcoin season has seen cryptocurrencies other than Bitcoin surge dramatically as investors’ interest and demand from BTC to other alternative coins. Ethereum typically leads this trend, as its growth often sparks rallies across the altcoin market. However, with ETH underperforming against all expectations, the possibility of a full-fledged altcoin season remains uncertain. February To KickStart AltSeason Sharing a similar sentiment with the timeline of Captain Faibik’s prediction for the altcoin season, many analysts have speculated that this bullish trend is set to occur in February. Specifically, Crypto Rover, a prominent crypto analyst on X, announced that the altcoin season will begin in the next two days. Related Reading: Is Altcoin Season Here Already? VanEck Answers As Bitcoin Price Struggles Below $100,000 The analyst shared a chart highlighting Ethereum’s historical monthly returns from 2016 to 2024. The column for February shows that ETH has performed massively during this time almost every year, with 2017 recording its most significant return of 48.09%. Based on this analysis, Crypto Rover suggests that February could signal a bullish period for altcoins, triggering the start of the highly anticipated altcoin season. Featured image from Unsplash, chart from Tradingview.com
Bitcoin has yet to relinquish its dominance in this market cycle, leaving many investors still holding onto hopes for the arrival of an altcoin season. Still, there remains a possibility that an altcoin rally might never come to fruition this season, given the recent market trends this cycle. Crypto analyst Ali Martinez echoed this perspective in a recent post on X, claiming that an altcoin season may never return. His observation sheds light on the change in market dynamics and the significant shifts that have occurred since previous alt seasons. Why AltSeason Might Never Happen An altcoin season is defined by a period of rapid price surges across a wide range of altcoins. Furthermore, an altcoin season is characterized by investors cashing out their Bitcoin profits and pouring them into altcoins. This period is always accompanied by social media hype and FOMO from crypto investors as they rush in to get in on the action. Related Reading: Is Altcoin Season Here Already? VanEck Answers As Bitcoin Price Struggles Below $100,000 However, current market conditions have seen the crypto industry grow from its early days into a new market with a close relationship with investors in the traditional finance sector. Additionally, the altcoin market has expanded dramatically since the last major bull run in 2021, and you could argue that it has become somewhat oversaturated. Martinez highlighted a startling statistic: over 36.4 million altcoins are now in circulation. This is a dramatic increase compared to fewer than 3,000 altcoins during the 2017-2018 altcoin season and an even smaller pool of fewer than 500 in the 2013-2014 bull market cycle. The sheer scale of this supply explosion has fundamentally altered the cryptocurrency landscape, diluting attention and capital among an overwhelming number of assets. This oversaturation means that achieving widespread price surges across altcoins has become a far more challenging proposition than in previous market cycles. Furthermore, many of these altcoins have unclear use cases or poor fundamentals and only divert attention from specific altcoins with strong utility. Could The Era Of Altcoin Seasons Be Over? The concept of an altcoin season may be a relic of a less crowded market. Ethereum, the largest altcoin, has largely failed to perform up to expectations this cycle. Known as the primary driver of past altcoin seasons, Ethereum has struggled to gain momentum for over a year, even as other altcoins like Solana, XRP, Cardano, and Dogecoin continue to push to multi-year highs. Related Reading: Bitcoin Price Dominance And Altcoin Season: What The Sudden Volatility Means For The Market If Ethereum, with its established dominance and utility, cannot deliver, it raises serious questions about the potential of other altcoins to rally. Instead, individual altcoins with strong fundamentals or unique propositions could continue to thrive while the rest of the market remains stagnant. At the time of writing, Coinmarketcap’s dominance data shows that Bitcoin commands 57.9% of the total crypto market cap, increasing by 0.69% in the past 24 hours. Meanwhile, Ethereum is steadily losing ground, with its dominance dropping by 1.07% over the same period, now accounting for just 11.1% of the overall market. Featured image from iStock, chart from Tradingview.com
Ethereum (ETH) continues to lose ground to Bitcoin (BTC) as the latter’s dominance rises, with US President-elect Donald Trump set to take office later today. At the time of writing, the ETH/BTC trading pair stands at 0.031, marking a four-year low for the ratio. ETH/BTC Continues To Decline As Trump Focuses On Bitcoin Over the past year, Bitcoin has appreciated by an impressive 158%, surging from approximately $41,000 on January 21, 2024, to $107,608 at the time of writing. The cryptocurrency has consistently reached new all-time highs (ATH) throughout the year. In contrast, Ethereum has delivered a modest return of approximately 35% over the same period and remains 32% below its November 2021 ATH of $4,878. Related Reading: Will Ethereum Bounce Back? Crypto Analysts Discuss Potential Price Recovery According to the weekly chart below from TradingView, the ETH/BTC trading pair — also referred to as the ETH/BTC ratio within the crypto industry — has reached a fresh four-year low. This decline has raised concerns about the likelihood of an Ethereum-led altcoin season. Currently trading at 0.031, the ETH/BTC ratio has erased all gains accumulated since March 2021. The pair peaked at 0.087 in December 2021, during the height of that year’s altcoin season. Since then, however, Ethereum, the second-largest digital asset by market capitalization, has experienced a steady decline against Bitcoin. In May 2024, the ratio fell below 0.054, a critical support level that had previously held firm in June 2022. Several factors have contributed to Ethereum’s underperformance, including Trump’s perceived preference for Bitcoin and the rising competition from rival smart-contract platforms like Solana (SOL). Unlike Bitcoin, Ethereum has struggled with adoption. Corporations worldwide are increasingly incorporating Bitcoin into their balance sheets, reinforcing BTC’s status as a premier digital asset. Additionally, speculation about the creation of a US strategic Bitcoin reserve has further bolstered the narrative around Bitcoin’s limited supply, driving its price higher. Conversely, Ethereum’s relatively high issuance rate has cast doubt on its “ultrasound money” narrative. Ethereum’s 2024 performance has also eroded confidence among some of its largest holders. Notably, an ETH whale recently sold 10,070 ETH at a $1 million loss, signaling waning investor trust. Will 2025 Change Ethereum’s Fortunes? While 2024 was a challenging year for Ethereum in terms of price performance, crypto analysts remain optimistic about the asset’s prospects in 2025. For example, a report by Steno Research predicts that Ethereum could surge to as high as $8,000 this year. Related Reading: Ethereum Poised For A Bullish Q1 2025? Here’s What Experts Say Similarly, crypto analyst Daan forecasts that the ETH/BTC trading pair could rise above 0.04 during Q1 2025. In December 2024, Ethereum exchange-traded funds (ETFs) experienced renewed interest from institutional investors, fueling hopes for significant capital inflows into the smart-contract platform. That said, Ethereum must first overcome strong resistance at the $4,000 price level. At press time, ETH trades at $3,368, down 1.3% in the past 24 hours. Featured image from Unsplash, Charts from TradingView.com
Recent price trends show that the altcoin market appears to be approaching positive territories as major altcoins are slowly recovering their upward trajectory, sparking a resurgence in the market. As Bitcoin’s supremacy shows signs of peaking, many analysts believe that momentum may be shifting in favor of smaller-cap crypto assets. Market Dominance Shifting Toward Altcoins? […]
In a bold series of posts on X on January 14, prominent crypto analyst Miles Deutscher delivered a shocking forecast concerning the long-debated phenomenon of an altcoin season. His commentary quickly drew attention from crypto analysts, particularly as it appeared to challenge, rather than reinforce, the long-standing hopes of a 2021-style altcoin mania. RIP Crypto Altcoin Season? Deutscher began his post by acknowledging the renewed conversation within crypto circles on whether an “alt season” could come around again. He distinguished two different interpretations of the term altcoin season. “Will there ever be an ‘alt season’ again? Seeing a lot of discussion about this on the TL,” Deutscher noted. “Firstly, it depends on your definition of ‘alt season’. If you’re referring to the index, then yes, I expect it to spike again at some point this year.” Related Reading: Anthony Scaramucci’s 2025 Crypto Picks: Top Altcoins To Buy This Year However, he cautioned that a reoccurrence of the euphoric, multi-month surge experienced in 2021 would be exceedingly unlikely: “If you’re referring to the multi-month up-only mania of 2021, then no. The unique combination of QE/stimulus and V-shaped equities repricing created conditions that are almost impossible to replicate. Expecting that is a recipe for disaster. Key word here: ‘expecting.’” Deutscher’s overarching advice emphasized flexibility and preparedness rather than relying on extended bullish waves. He advocated for taking profits in what he expects to be comparatively short-lived rotations into altcoins—though he did acknowledge the possibility of a surprise rally: “If a larger ‘alt season’ DOES happen, great. That makes our job a lot easier, and complacency won’t be punished as much. Go in with the mindset of the rotation into alts being short-lived (this will force you to take profits). It may not actually be short-lived, but at least you’re securing profits.” Related Reading: Crypto Market Will Peak In Mid To Late March, Predicts Arthur Hayes He stressed that prudent strategies should consider “multiple mini-cycles or pockets of narrative outperformance,” underlining the importance of not hoping for a second coming of the 2021 market conditions. Deutscher’s advice ultimately hinged on portfolio construction and proactive trading: “Instead of holding everything and everything, have a more concentrated basket of high-conviction assets. Juxtapose those holdings with the willingness to trade in profitable playgrounds (i.e. AI) – but treat them as trades, don’t bag hold.” Deutscher’s comments came in response to a statement from crypto influencer Ansem, who had asserted: “No alt szn ever again. Pockets of extreme outperformance always there, with people moving down the risk curve in cyclical terms but never to the level as before. What’s the real reason BTC.d doesn’t have to go up and to the right for a decade straight?” While both analysts believe that a 2021-style altcoin season seems highly unlikely, they highlight the still existing opportunities in this bull run. “Specific assets/sectors are going to have crazy runs when conditions allow it. Instead of holding everything and everything, have a more concentrated basket of high-conviction assets,” Deutscher concludes. At press time, total crypto market cap excluding Bitcoin (TOTAL2) stood at $1.34 trillion. Featured image created with DALL.E, chart from TradingView.com
Steno predicts Bitcoin at $150,000 and Ether at $8,000, setting the stage for an altcoin season in 2025.
AI cryptocurrencies have dropped nearly 30% in value, but analysts forecast a potential recovery during the 2025 altcoin season.
The altcoin season could be closer than ever, as the Bitcoin Dominance has entered a historically favorable phase for alternative digital assets. According to a crypto analyst, the altcoin season has officially entered the 140-day Golden Window, a period marked by significant growth for altcoins. This phase is driven by a shift in Bitcoin’s dominance […]
On December 23, US spot Bitcoin (BTC) exchange-traded funds (ETFs) experienced significant outflows totalling $226 million, while Ethereum ETFs saw inflows of $130 million. The stark contrast in net flows between these two ETFs has sparked discussions among crypto analysts about whether an altcoin season might be on the horizon. Capital Flow Pivots From Bitcoin […]
While Ethereum (ETH) has once again failed to break through the stubborn $4,000 resistance level, BlackRock’s iShares Ethereum Trust ETF has quietly accumulated over one million ETH. This milestone reflects strong institutional demand for Ethereum, even as its price performance in 2024 remains lackluster. Institutional Interest In Ethereum On The Rise Year-to-date (YTD), Ethereum – […]
Market expert Lark Davis has recently taken to social media to assert that the much-anticipated altcoin season is far from over despite short-term corrections and challenges the broader crypto market faces. Davis believes that significant opportunities lie ahead for altcoins, particularly as their total market capitalization (excluding Bitcoin and Ethereum) hovers around $1.05 trillion. Key Factors For Impending Altcoin Season The expert points out that the current altcoin market cap is nearing its previous high of $1.13 trillion from November 2021. He recalls a similar scenario from February 2021, when the altcoin market cap tested the highs from January 2018 before breaking through. This breakout resulted in an impressive surge from $360 billion in February 2021 to $1.13 trillion by November 2021—an increase of over 200%. Davis firmly believes that once the altcoin market cap surpasses the $1.13 trillion threshold again, we could witness one of the largest altcoin seasons in the history of cryptocurrency. Related Reading: Whales Snap Up 30 Million XRP As Ripple Launches Its RLUSD Stablecoin Several key factors contribute to Davis’s optimism regarding the impending altcoin surge: Bitcoin’s Performance: Currently at all-time highs, the Bitcoin price strength often catalyzes interest in altcoins. Political Transition: With Donald Trump set to take office in just 34 days, market sentiment may shift favorably towards cryptocurrencies. Global Rate Cuts: Central banks worldwide are reducing interest rates, which typically increases liquidity in the market. Increased Capital Investment: An influx of cheap capital is making its way into the cryptocurrency space, setting the stage for potential growth. Risk-On Environment: The current market conditions are among the strongest for risk-on assets, creating an ideal backdrop for altcoin investment. Rally Anticipated As Bitcoin Dominance Rises Echoing Davis’s sentiments, crypto analyst Miles Deutscher emphasizes that the real altcoin season has yet to commence. He points to compelling historical evidence suggesting that alt-seasons are not mere coincidences but rather distinct seasonal phenomena backed by statistical patterns. Historically, Ethereum (ETH) has shown impressive returns from January to May, often outperforming Bitcoin during this period. During these months, Ethereum averages about 28% monthly returns, compared to a mere 3% for the rest of the year. Related Reading: MicroStrategy’s Bankruptcy Risk: CEO Warns Bitcoin Must Drop To $16,500 To Trigger Collapse In addition, the analyst asserts that the current environment is particularly favorable for this rotation, as Ethereum has historically outperformed Bitcoin by approximately 20% per month during alt-seasons. As Bitcoin’s performance strengthens, so too does the likelihood of capital flowing into Ethereum and other altcoins. This rotation is already observable in the recent surge in Bitcoin dominance, which has mirrored patterns seen in previous alt-seasons around 2017 and 2021. At the time of writing, ETH, the largest altcoin on the market, is trading at $3,686, down 4.4% over the 24-hour period and nearly 6% over the week. Featured image from DALL-E, chart from TradingView.com
Crypto analyst Master Kenobi has provided extensive analysis, which discusses the Bitcoin price dominance and altcoin season. In his analysis, Master Kenobi also revealed what this sudden volatility means for the market. Where The Bitcoin Price Dominance Is Headed In an X post, Master Kenobi stated that the Bitcoin price dominance was meant to have begun its decline yesterday. However, the drop started 20 days earlier than anticipated. The crypto analyst added that. Having recorded three consecutive red weeks, Bitcoin’s dominance has entered a phase of volatility that could last for some time. Related Reading: XRP Price Flashes Falling Wedge Pattern, Why $2.8 Is A Possible Target From Here The analyst’s accompanying chart showed that the Bitcoin price dominance experienced this volatility phase for 136 days. If history were to repeat itself, this volatility won’t end until April 6 next year. Master Kenobi opined that the market is currently in the first and likely the most critical stage of capital rotation from Bitcoin profits. Once the market moves past this period of capital rotation, Master Kenobi predicts that a massive drop in dominance will follow, which, on the other hand, can be interpreted as the start of the altcoin season. Master Kenobi stated that even if the bull market extends beyond April 6, this period will likely be the most prolific for most altcoins. Master Kenobi noted that the bottom in the Bitcoin price dominance on May 14, 2021, coincided with the first peak of the crypto market during the 2021 bull run. The analyst expects a similar pattern to unfold this time around. Meanwhile, the analyst indicated that the bottom in the dominance could happen at the beginning of March instead of April 6. From The Bitcoin Halving Perspective Master Kenobi also used the Bitcoin halving date as a reference point to prove that the Bitcoin price dominance could move along with these timelines. He noted that in the previous cycle, there was a short interval (four days) between the one-year anniversary of the Bitcoin halving on May 11 and the first major bottom in dominance on May 15. Related Reading: Dogecoin Price On Its Way To $1: Why A Retest Of $0.48 Is More Important Than Anything In line with this, the analyst remarked that the timeline for the bottom in the Bitcoin price dominance (which would also mark the peak for the crypto market) can extend beyond April 20 to April 23, 2025. Master Kenobi cautioned that the exact date for the market peak cannot be pinpointed at this moment. However, as time passes, he believes that there is a likelihood that he will be able to pinpoint with greater accuracy the date when the first phase of the bull market will end. At the time of writing, the Bitcoin price is trading at $100,300, down in the last 24 hours, while its dominance is at 55.13%, according to data from CoinMarketCap. Featured image created with Dall.E, chart from Tradingview.com
Based on its correlation with the liquidity index, Bitcoin may reach a local peak of above $110,000 by January.
Major cryptocurrency assets, excluding Bitcoin, usually known as Altcoins, are currently demonstrating strong momentum, rising significantly to pivotal levels in the past few days. While there is the belief that the tokens are surging due to a drop in Bitcoin’s dominance, several seasoned market experts think otherwise. Has The Much-Awaited Altcoin Season Begun? In an insightful prognosis […]
Some cryptocurrencies are already displaying signs of an early altseason, including Hedera’s HBAR, which has rallied 763% in the past month.
CryptoQuant CEO Ki Young Ju says altseason is no longer determined by a capital rotation from Bitcoin but by a surge in altcoin trading volume for stablecoin pairs.
Grayscale’s cryptocurrency gains are another sign of an incoming altcoin season, which may lead to an XRP rally of $2.57 before the end of 2024.
Analysts are expecting Ether and altcoins like XRP to stage a significant rally leading into Trump’s inauguration on Jan. 20, which also marks the last day of SEC Chair Gensler.
Bitcoin (BTC) continues its historic price trajectory, trading in the low $90,000 range at the time of writing. However, a trading firm suggests that Bitcoin dominance (BTC.D) falling below a crucial level could signal the start of the long-anticipated altcoin season. Interest Rate Cuts, Trump Administration To Propel Crypto In a recent Telegram broadcast, Singapore-based trading firm QCP Capital shared its crypto market analysis. The firm highlighted Solana’s (SOL) recent performance, noting that it outpaced Bitcoin and Ethereum (ETH) over the weekend, surging more than 17% from Friday’s lows. Related Reading: Bitcoin’s Market Is Still In An ‘Healthy Growth’ Phase, Says Analyst—Here’s Why Despite this, QCP Capital acknowledged that many investors remain hesitant to embrace the prospect of an imminent alt season, given Bitcoin’s steady climb toward the psychologically significant $100,000 mark. Rekt Capital’s analysis supports this sentiment, suggesting BTC is just beginning its parabolic phase. QCP Capital, however, predicted that a combination of Donald Trump’s victory in the US presidential election and interest rate cuts by the Federal Reserve (Fed) could set the stage for a full-blown altcoin season in the coming months. Trading Firm Identifies Key Bitcoin Dominance Threshold For Altseason According to QCP Capital, altcoins historically outperform major cryptocurrencies once the latter consolidate after significant rallies. The firm explained: Historically, we’ve seen altcoins outperform whenever the majors consolidate after a significant rally as profits rotate into smaller-cap coins. BTC’s dominance is around 60% now and it will probably need to be around
The crypto market could be getting ready to enter the highly anticipated altcoin season. As the market rides the bull wave spearheaded by Bitcoin, a crypto analyst has identified the current phase of the market using the Wyckoff Cycle. This analysis suggests that altcoins are preparing for a “parabolic run” that could kickstart the onset of the altcoin season. Related Reading: Bitcoin To $800K? Galaxy Digital CEO Unveils Bold 5-10 Year Forecast Wyckoff Cycle Reveals What Phase The Current Market Has Entered A crypto technical analyst identified as EtherNasyonal has shared a chart of the crypto total market cap, excluding Bitcoin. In this chart, the Wyckoff cycle, a widely used framework for understanding market behavior and trends, can be seen. The chart showed four distinct market phases — Accumulation, Mark up, Distribution, and Mark down. The accumulation phase is the period when smart money begins buying assets at lower prices, and prices consolidate as selling pressure reduces. Once the accumulation phase completes, the Markup phase begins, where prices break out of the consolidation range and begin an uptrend driven by increased demand. The next phase, the Distribution stage, is characterized by selling pressure, where smart money begins selling its holdings, leading to price corrections or stabilization. After this stage, the Markdown phase starts, where selling pressure overwhelms demand, triggering a downtrend. Based on these unique phases, the crypto analyst has revealed that the market is currently in the Mark up phase, highlighted by an increase in the prices of various cryptocurrencies. By 2025, 2026, and 2027, the total market is expected to enter a re-accumulation phase, another mark up phase, and a distribution phase, respectively. The right side of the chart also shows a continuation of these distinct market phases, with 2027 to 2030 set to witness an accumulation, mark up, and distribution stage. Here’s When The Altcoin Season Could Begin Based on EtherNasyonal’s Wyckoff cycle chart, the altcoin season is set to commence, with altcoins already preparing to experience a parabolic run. The altcoin season is a period when cryptocurrencies, excluding Bitcoin, experience significant price increases and often outperform Bitcoin significantly. Based on the past bull market, the altcoins that led the previous altcoin season include Ethereum, Cardano, Solana, and others. The crypto analyst has revealed that the altcoin season will begin after the reaccumulation phase in the Wyckoff crypto market chart. The reaccumulation phase is set to take place in 2025, following the Mark up phase in 2024. Related Reading: Solana Rising: Key Metrics Hint At Serious Ethereum Competitor In this reaccumulation phase, the analyst expects altcoins to experience an epic rise that could lead to a strong and bullish altcoin season. The Bitcoin price performance is also set to influence this anticipated altcoin season, as a Bitcoin bull run has historically preceded past altcoin seasons. Moreover, as the market sees a decrease in Bitcoin’s dominance and increased demand for altcoins, this could signal that the altcoin season may be imminent. Featured image from Pexels, chart from TradingView
Crypto traders, market analysts and several metrics suggest that an "altcoin season" is about to begin as Bitcoin price challenges new highs.
Solana price is up today, registering a 4% ascent over the past 24 hours as the wider crypto market continues to show strength.
Never has cryptocurrency been so connected with the US elections, the outcome of which could trigger a full-on bull market. What are the prospects if Trump wins?
The crypto market is recovering from this week’s brutal sell-off, and analysts say 3 key metrics suggest an altcoin season could be on the way.
An analyst has pointed out two patterns forming in altcoin and Bitcoin-related charts that could suggest an altseason may be coming soon. Signs May Finally Be Aligning For An Altcoin Season In two new posts on X, analyst Ali Martinez has discussed some signals that could foreshadow an altcoin season. The first chart shared by the analyst is for the combined altcoin market cap, which is simply the combined cryptocurrency market cap excluding Bitcoin and Ethereum. The graph shows that the total altcoin market cap has been forming a pennant recently. The pennant is a pattern in technical analysis (TA) with two components: a pole made up of the prevailing trend and a triangle or “pennant” representing consolidation. In the case of the current pennant, the sharp uptrend that the altcoin market cap saw between Q4 2023 and Q1 2024 makes up for the pole portion, while the downtrend since then corresponds to the pennant. This type of pennant is popularly called a bull pennant. Related Reading: Bitcoin Could Reach $108,000 To $155,000 By 2024 End, Analyst Reveals Why As is apparent in the chart, the altcoin market cap has recently been making another retest of the upper channel of the pennant. It might see a significant rally if it manages to break the resistance this time. Pennant breakouts can be the same length as the pole, so Martinez notes that the altcoin market cap could end up crossing the $1 trillion mark. Naturally, this would only be if a break does happen. The analyst sounds optimistic, though, saying, “it is just a matter of time before #altcoinseason!” The second chart that could hint towards the oncoming of an altcoin season is the market cap dominance of Bitcoin. “Market cap dominance” here refers to the percentage of the total cryptocurrency market cap that BTC accounts for. Here is the graph for this metric shared by Martinez, which shows the pattern that has been forming in its value recently: The Bitcoin market cap dominance appears to have been moving in a rising wedge pattern recently. The rising wedge is another TA pattern, but unlike the bull pennant forming in the altcoin market cap, this formation is considered bearish. In a rising wedge, the asset’s price moves up between converging trendlines, with its movement getting narrower as it approaches the apex. As is visible in the chart, the Bitcoin market cap dominance is nearly at the end of the rising wedge, which suggests a break under the lower channel may happen soon. Related Reading: Bitcoin Hype Remains Low Even After $63,000 Surge: Green Sign For Rally? The metric has a value of 57%, but the analyst notes that this bearish formation could lead to a dip toward the 47% mark, which would set the stage for the altcoin season. BTC Price Bitcoin’s surge has calmed down over the last few days as the asset has taken sideways movement around the $63,500 level. Featured image from Dall-E, charts from TradingView.com
As historically proven, the start of an altcoin season, or ‘altseason,’ a period marked by the strong performance of alternative cryptocurrencies relative to Bitcoin, often begins following a significant increase in BTC’s price. This phenomenon has been elaborated recently by Arthur Hayes, the co-founder of BitMEX and Chief Investment Officer at Maelstrom Fund, who has now shared the specific time when the alt season for this cycle could begin. Related Reading: Is Now the Time to Buy Bitcoin? Top Analysts Predict $150K Surge On The Horizon Bitcoin And Ethereum: Key Price Targets To Kickstart Altcoin Season In Hayes’ latest substack blog post “Water, Water, Every Where,” the BitMEX co-founder suggests that certain key price marks for Bitcoin and Ethereum hold the key to altcoins commencing their next major rally. Hayes emphasizes that for altcoins to embark on a bullish trend, Bitcoin and Ethereum must surpass significant psychological barriers. According to the BitMEX co-founder, Bitcoin must break above $70,000, and Ethereum must exceed $4,000 to set the stage for a broader altcoin rally. These levels are seen as crucial for restoring investor confidence and enabling a flow of capital into smaller-cap coins. Hayes particularly noted: Alt szn will return only after Bitcoin and Ether decidedly break through $70,000 and $4,000, respectively. Solana will also climb over $250, but the crypto market-wide wealth effect of a Solana pump is nowhere near as potent as with Bitcoin and Ether, given the relative market caps. The combination of a dollar liquidity-inspired Bitcoin and Ether rally into year-end will create a strong foundation for the return of a sexy shitcoin soiree. The Potential Catalysts In addition to his alt season start-off forecast, the BitMEX co-founder disclosed some potential catalysts that could play a major role in these upcoming market rallies. Hayes connected these imminent market movements to macroeconomic factors, specifically the issuance of US Treasury bills (T-bills). He argues that these could introduce new liquidity into the crypto markets, propelling Bitcoin towards the $100,000 mark within this cycle. This anticipated flow of funds is expected to benefit Bitcoin and have a significant positive impact on Ethereum and, by extension, the broader altcoin market. Related Reading: Ethereum Price Gains Strength, Outpaces Bitcoin With An 8% Surge Hayes also commented on the upcoming US election and the likely impact on the crypto market. Referring to it as “a coin toss,” the BitMEX co-founder said that with the election in early November and Yellen being at “peak manipulation in October, there will be no better time for liquidity this year.” He added: Therefore, I shall sell into strength. I will not liquidate my entire crypto portfolio but take profits in my more speculative momentum trades. At the end of the note, the BitMEX co-founder touched on the US debts and reiterated his $1 million prediction on Bitcoin, noting: Once the US debt ceiling charade is over, liquidity will gush from the Treasury and possibly the Fed to get markets back on track. Then, the bull market will begin for realz. $1 million Bitcoin is still my base case. Featured image created with DALL-E, Chart from TradingView
Crypto expert Michael Van de Poppe recently predicted that altcoins would make significant upside moves. The analyst also provided a timeline for when this will happen and how parabolic the move could be for these crypto tokens. Altcoins Will Make A Move In The Summer Van de Poppe mentioned in an X (formerly Twitter) post […]
A quant has explained how a pattern currently forming in the Ethereum Open Interest could imply the altcoin season is coming “sooner than expected.” Altcoin Season May Be Approaching Soon Based On Ethereum Pattern In a CryptoQuant Quicktake post, an analyst has discussed about why an altcoin season may be coming soon for the cryptocurrency sector, based on a trend taking place in a couple of Ethereum and Bitcoin indicators. The first metric of relevance here is the “Open Interest,” which keeps track of the total amount of derivatives positions related to a given asset currently open on all centralized exchanges. Related Reading: Shiba Inu One Of The Most-Traded Tokens By Whales, Data Shows When the value of this metric goes up, it means the speculators are opening up fresh positions for the coin right now. On the other hand, a decline implies the users are either closing up their positions of their own volition or getting forcibly liquidated by their platform. Now, here is a chart that shows how the trend in the Open Interest has compared between Bitcoin and Ethereum over the past year: As displayed in the above graph, the Bitcoin Open Interest has been moving more or less sideways recently, while at the same time, the metric has registered growth for Ethereum. This would suggest that ETH has been seeing more appetite for derivatives market contracts than the original cryptocurrency recently. One of the driving factors behind this could be the news cycle related to the approval of the spot exchange-traded funds (ETFs) for the asset. In the same chart, the quant has also attached the data for another indicator: the Estimated Leverage Ratio (ELR). This metric measures the ratio between the Open Interest and the Exchange Reserve for any asset. The latter is naturally the total amount of the coin that’s currently sitting in the wallets of all centralized exchanges. The ELR basically provides us with information about the amount of leverage that the average user in the derivatives market is opting for right now. From the graph, it’s visible that this ratio has seen a surge for Ethereum recently but has been showing flat action for Bitcoin. Thus, it would appear that not only has ETH been seeing more speculative interest than BTC recently, but also these users opening contracts are going for higher risk as they are taking on more leverage. Related Reading: Analyst Says “Only A Matter Of Time” Before Bitcoin Flies Past ATH The analyst believes that the fact that Ethereum has overtaken Bitcoin in these indicators could be a potential sign that an altcoin season may be approaching soon. “If Ethereum’s price continues to consolidate in the current range, it’s very possible that the altcoin season will start sooner than expected,” notes the quant. It now remains to be seen how things play out in the market in the near future, given this shift of trend. ETH Price After seeing a slowdown earlier, Ethereum has been back on track in the past couple of days as its price has now climbed back above the $3,900 level. Featured image from Dall-E, CryptoQuant.com, chart from TradingView.com