Altcoin projects’ performance coincided with improvements in the altcoin season index, indicating the proximity of an altcoin season. According to an index prepared by Blockchain Center, 75% of the top 50 crypto assets performed better than Bitcoin in the last season, strengthening this possibility.
Comments on the Altcoin Season
This indicator essentially reveals that only 69% of the leading 50 altcoin projects performed better than Bitcoin in the last 90 days. Although the index has increased in the past few days, there is still not enough data to declare an altcoin season.
However, according to a new market report by K33 Research, this situation may soon change. The report notes that since the November 2022 low, Bitcoin’s rise towards its all-time high has doubled the market value of all cryptocurrencies, excluding Bitcoin and Ethereum. K33 Research analysts said that the setup reflects the 2020 altcoin bull run just before Bitcoin caught up with the uptrend:
“History suggests that altcoin projects will start performing better from the current period.”
Noteworthy Statements from Prominent Figures
Independent analyst CrediBULL explored the connection between Bitcoin’s performance and the start of the altcoin season. In an article published on March 4th at X, CrediBULL summarizes two possible scenarios:
One where Bitcoin breaks its previous ATH level and doubles in value within a few weeks, and during this breakout leg, altcoin projects are not favored until Bitcoin pauses; and a consolidation scenario where Bitcoin returns to its previous ATH level but faces rejection or consolidates at the highest levels for several weeks. In the second case, altcoin projects start to rise immediately after Bitcoin tags its ATH level. CrediBull commented on the matter:
“The common theme and key takeaway is that after Bitcoin reaches its previous ATH level, altcoins begin to rise during Bitcoin’s first major pause or consolidation, whether at the previous ATH level or well above it.”
Nevertheless, Michael van de Poppe, founder and CEO of MN Trading Consultancy, believes that the altcoin season has not yet started and points out that they still have a market value of 40-60% before reaching the 2021 peaks of over $1.1 trillion.
Cardano’s founder Charles Hoskinson believes that the altcoin season will start with DOGE surpassing ADA in market value. Hoskinson said in a post on X social media platform on March 5th:
“The moment DOGE passes Cardano. That’s officially altcoin season, guys.”
