Altcoins
Altcoin season could be near, according to key indicators
For several weeks, the broader market has been on a knife edge, waiting for confirmation of the altcoin season. During this period, altcoins have shown a glimpse of what is possible, as prices have surged.
Despite the optimism, some of the major altcoins have struggled to keep up with the upward trend. Amidst these fluctuations, new predictions have emerged.
Catalysts Are Ready For Altcoin Season, Says Analyst
One of the main predictions that emerged was that of Michaël van de Poppe, the founder of MN Trading.
According to van de Poppe, Bitcoin (BTC) will continue to lag behind altcoins for the remainder of the year.
In his article published on X, the analyst admits that BTC has performed well. However, he believes that recent history has rarely favored Bitcoin Domination during the second half of the year.
“Over the last three years, the markets have had a case where the first half of the year is bearish for altcoins while the second half of the year is the bullish year for altcoins.” He explain July 17th.
At press time, BTC is trading at $64,706, down from $66,189 on July 17.
Learn more: 10 Best Altcoin Exchanges in 2024
Bitcoin Price. Source: TradingView
Furthermore, van de Poppe said Ethereum spot ETFs to be launched soon can also be a catalyst. In previous articles, BeInCrypto has discussed how this helps validate the altcoin season. However, a look at the top gainers in the top 100 shows that many altcoins are performing better than BTC.
Should Altcoins Continue to Outperform Bitcoin? in terms of gains, then altcoin season might be getting closer.
Altcoin Market Cap Rises: Will This Keep BTC Out?
However, it is important to take into account an indicator like TOTAL2. This indicator shows the total market capitalization of the top 125 cryptocurrencies, excluding BTC. If this indicator increases, it means that many altcoins are performing better than Bitcoin.
But if the value drops, BTC outperforms the average altcoin. As the chart below shows, the market cap of the top 125 cryptocurrencies increased from $873.11 billion to $1.07 trillion between July 8 and July 17.
This surge further reinforces the idea that altcoin season is on the radar even though there has been a slight dip.
In addition, the relative strength index (RSI), which measures momentum, is above the signal line. If this reading continues to climb, altcoin prices could move in the same direction.
Learn more: What are the best altcoins to invest in July 2024?
As is, Bitcoin Dominance May Be Starting to Crumbling in the coming week in anticipation of the launch of Ethereum ETFs. If so, the market could see many volatilityand altcoin prices could start aiming for new highs.
However, the altcoin season could be delayed if BTC price returns to its all-time high before many other top cryptocurrencies.
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