The post Altcoin index may have surged overnight, but altcoin season is not here yet appeared on BitcoinEthereumNews.com.

The altcoin season index grew by 10 points overnight, as Bitcoin (BTC) simultaneously stepped back from its record range. With BTC now down to $92,000, altcoins have automatically claimed a larger share of the market. Bitcoin’s dominance is back to 57.3% after a brief hike above 60%. The altcoin season index is up to 59 points, growing from the 49 points it registered the night before. The index measures the relative performance of altcoins against Bitcoin (BTC). Notably, it does not immediately translate into demand or bullish perspectives for most assets.   The altcoin season index also covers the top 100 assets, which often includes outliers with highly positive short-term performance. Many meme tokens within the top 100 are boosting the performance score, including PNUT, WIF, SHIB, BONK, FLOKI, and the leading DOGE. The list also includes previous winners from various narratives, including L2, Web3 platforms, DeFi, and DEX.  The top 100 altcoins include legacy mined assets, which may break out on their own and rebuild fandom. Names like Litcoin (LTC), Ethereum Classic (ETC), and Monero (XMR) belong in this category. Another growth driver may be the breakout of assets like Cardano (ADA), XPR, and Stellar (XLM).  Historically, altcoin season arrives after BTC’s rally ends and the flagship crypto establishes a stable range. However, in the case of a big BTC drawdown, altcoins suffer even deeper price cuts and take longer to recover. A sliding BTC is no guarantee for the imminence of an altcoin season as smaller assets are still seen as unreliable.  Short-term shift or real altcoin season?  Based on trading signals, the BTC versus altcoin season points to a risky short-term period. At the current stage, it is unknown if BTC is just taking a breather before extending its rally or if it’s just priming for an…

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Filed under: News - @ November 27, 2024 12:21 pm