A cryptocurrency analyst forecasts a sharp decline in the Bitcoin $94,319 Market Dominance Index over the next 15 weeks, anticipating the start of an altcoin bull run in the first quarter of 2025. The altcoin season refers to a phase where capital flows from Bitcoin to altcoins, resulting in explosive growth within cryptocurrency tokens. This period may present significant opportunities for cryptocurrency traders.
When Will the Alt Season Begin?
According to the popular cryptocurrency analyst “CryptoBullet,” the altcoin season has already begun with Bitcoin’s dominance rejecting the 161.8% Fibonacci extension level. Based on historical data, the expert notes that altcoins are likely to experience a surge shortly after this dramatic decline in dominance.
CryptoBullet explains that this decline has already started and that the first quarter of 2025 will be “epic.”
2025 and Cryptocurrencies
The upcoming year holds many positive developments for cryptocurrency investors. Trump will assume office on January 20, and we will subsequently see crypto-friendly appointments in key positions at the SEC and other important institutions. Following this, the SEC will start announcing decisions regarding altcoin ETF applications, and Congress will finalize cryptocurrency regulations that have been on hold due to the election agenda.
The early completion of the appeal process for Ripple $2, along with friendly moves from the new SEC administration, will be significant developments for the year. During this period, we should also witness the implementation of regulations granting the CFTC more authority over altcoins. This will classify many altcoins as commodities and potentially prevent new lawsuits from the SEC. Additionally, we can expect to see concrete steps from Trump regarding Bitcoin reserves. All these factors suggest that there are numerous reasons to believe in an upward trend for altcoins in the first two quarters of next year.
If CryptoBullet is correct, we can say that we are entering an environment conducive to the altcoin season, where we are accustomed to multiple-fold increases.