Altcoin
Altcoin Season Index at 35: what does it take to trigger a boom?
- Bitcoin dominance remained above 50%.
- The altcoin season has yet to begin despite recent market moves.
Bitcoin [BTC] has seen impressive price performance since the beginning of the year and, recently, Ethereum [ETH] it also showed significant upward movements.
With the current trajectory of ETH and the spikes in value of various other assets, the question of whether a altcoins the season may be underway is raised.
Altcoin season has not started
Usually, when Ethereum begins to recover, may signal the beginning of altcoins season. However, for the season to fully begin, other metrics must also show significant movements.
As of now, the Altcoin Season Index is live blockchaincenter.net is equal to 35. For the index to indicate an “altcoin season,” 75% of the top 50 coins must outperform Bitcoin.
Source: blockchaincenter
Bitcoin’s dominance slows down the altcoin season
A decrease in That of Bitcoin dominance can contribute to the onset of altcoins season as traders diversify their holdings. They invest in other cryptocurrencies, shifting market capitalization away from BTC.
Currently, the cryptocurrency market capitalization is around $2.55 trillion CoinMarketCap. BTC dominance is above 52%, leaving altcoins with less than 50% of the market share. Within this, Ethereum holds 18.2%.
Furthermore, the price of BTC tends to stabilize and remain stable after a significant price movement. This stability may push market participants seeking short-term gains to sell their Bitcoin and move to altcoins.
Additionally, BTC’s high price may pose a barrier to new traders, who may opt for altcoins instead. This investment shift may contribute to a broader redistribution of market capitalization towards altcoins.
How Ethereum and other major altcoins performed
although the Bitcoin the season is underway, Ethereum and several similar altcoins Pepper [PEPE] AND Dogwifhat [WIF] have seen substantial gains recently. The analysis proves it PEPPER it has outperformed Bitcoin by more than 1,000% over the past three months.
Its daily timeframe chart indicates several recent all-time highs and a strong uptrend, as confirmed by its Relative Strength Index (RSI).
Likewise, WIF increased by more than 800% over the same period and maintained a strong uptrend. At the time of writing, WIF is trading around $3.70, up nearly 9%.
Source: Santimento
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Ethereum is also experiencing a strong uptrend in the oversold zone, according to its RSI. It trades at around $3,890, a modest increase of less than 1%.
These movements suggest that while Bitcoin dominates, significant momentum is building in the altcoin market.