Altcoin
Altcoin season is approaching: Ethereum development paves the way, here’s how
Antalya, Türkiye – May 21, 2021: Close up of Bitcoin cryptocurrency and alt coins
With the cryptocurrency market continuing to fascinate investors around the world, it is becoming important to understand the dynamics of the Altcoin season. Our Crypto Talk, a cryptocurrency channel, did offered insights into the topic based on the latest developments and price actions surrounding Ethereum, the second largest digital asset.
Is altcoin season upon us or is it very close?
Ethereumhas shown strong upward momentum, making gains of around 25% over the past 3 weeks, prior to the announcement of the ETH Spot Exchange-Traded Funds (ETF). Historically, as the price of the cryptoasset shows promising movements, it is considered a harbinger of larger trends in the altcoin market.
Following the recent price movements and development around ETH, Our Crypto Talk believes that the market may be on the verge of an altcoin season. According to the channel, if Ethereum maintains its current trend and remains stable above the $3,800 level, the season could start earlier than expected.
Additionally, there is a lot of anticipation for a possible post-approval season for Ethereum spot ETFs. Last week, the US Securities and Exchange Commission (SEC) approved all 8 ETH spot ETF applications submitted by the world’s largest digital asset managers.
Considering the impact of the products on Bitcoin following approval, the channel could anticipate a similar scenario for ETH, which could draw investors’ attention to altcoins, thus triggering the alt season. However, due to the complexity of the listing process, it may take months for the full effect to develop.
So far, Our Crypto Talk has observed that the market appears to be more optimistic than ever about ETF adoption, which suggests a bright future for the cryptocurrency market. Additionally, following the acceptance of the ETH spot ETF, many other alts, such as Solana (SOL)they are ready to get on the train.
While predicting the season will arrive sooner than expected, the channel highlighted the potential for a consolidation phase before regaining momentum. “Looking ahead, the altcoin season may undergo a consolidation phase before gaining momentum,” the channel said.
Other potential triggers highlighted by the channel to fuel the season are Ethereum’s possible commodity status, bipartisan support for the pro-cryptocurrency Financial Innovation and Technology for the 21st Century Act (FIT21), and cryptocurrency donations from the former US President United States Donald Trump for the upcoming presidential elections.
The season is upon us
While Our Crypto Talk thinks the season hasn’t started yet, popular cryptocurrency analyst and trader Titan of Crypto affirmations it started. Titan of Crypto has highlighted its recent interest in altcoins, due to the idea that the altcoin season has not begun.
The expert advised the community to keep in mind that while markets are not always forgiving, they occasionally offer another chance if the first one is missed. As a result, he urged cryptocurrency enthusiasts not to be lazy during this period and to do their own research, arguing that high season it started.
Featured image from iStock, chart from Tradingview.com