Türkçe
Español
Bitcoin (BTC) continues to dominate the cryptocurrency market, yet analysts are pointing to leading indicators that suggest an approaching altcoin season where smaller altcoins could outperform the largest cryptocurrency. Despite Bitcoin reaching close to its all-time high of $64,000 this week, thanks to strong entries into spot bitcoin ETFs, altcoins have been lagging behind. However, analysts from K33 Research argue that history points to a potential change in market dynamics.
Strong Signals for an Altcoin Season Are Coming
Analysts at K33 Research have highlighted in a recent market report that altcoins could soon start outperforming BTC, drawing parallels with previous market cycles. The report notes that since the market bottom in November 2022, BTC’s market value has doubled compared to the total value of cryptocurrencies excluding BTC and Ethereum (ETH), a situation that was similarly observed before altcoins caught up with BTC’s rally at the end of 2020.
According to analysts, the noteworthy rise this week in memecoins like Dogecoin (DOGE) and Shiba Inu (SHIB) could be an early sign of the upcoming altcoin season. Both DOGE and SHIB have seen increases between 40% to 50% this week, while new memecoins like Pepe (PEPE), Bonk (BONK), and Dogwifhat (WIF) have also doubled their prices or more during the same period.
Despite all this, timing the start of the altcoin season highlighted by K33 Research continues to be a significant challenge. The rise of spot Bitcoin ETFs has changed the cryptocurrency investment landscape, and there is no guarantee that funds flowing into BTC will shift to altcoins. While certain altcoins are making significant gains, a broad wave of individual investors entering the altcoin market is needed for sustainable growth across the sector.
Swissblock: ETH Must Surpass $3,500 Threshold for Altcoins to Prevail
Swissblock has conducted another market analysis that reveals all signs point to the proximity of an altcoin season. A graph shared by Swissblock on Telegram shows that the median return of altcoins against Bitcoin is approaching a bottom, potentially signaling a reversal in favor of altcoins.
Swissblock identifies the crossing of the $3,500 price threshold by ETH, the largest altcoin, as a significant signal confirming the start of a period dominated by altcoins.
