Analysts Suggest Possible Altcoin Season Rebound in January as Bitcoin Dominance Peaks
The post Analysts Suggest Possible Altcoin Season Rebound in January as Bitcoin Dominance Peaks appeared on BitcoinEthereumNews.com.
Analysts from across the crypto industry are suggesting that January may herald a new altcoin season, driven by key market indicators. The relative performance of Bitcoin (BTC) against altcoins, particularly through the BTC Dominance metric and the ETH/BTC ratio, implies that favorable conditions might soon return for alternative cryptocurrencies. As noted by blockchain analysis firm SwissBlock, “Bitcoin’s dominance is losing steam, and ETH/BTC has printed a higher low, possibly signaling a bottom.” Analysts predict an imminent altcoin season as Bitcoin dominance slides, suggesting it could offer recovery opportunities for alternative cryptocurrencies. The Potential Resurgence of the Altcoin Market Amidst Bitcoin Dominance Trends The notion of an approaching altcoin season has garnered attention as Bitcoin’s dominance appears poised for a potential decline. Crypto analyst TechDev 52 indicates that this trend could unfold in January, paving the way for altcoins to regain traction. He asserts, “History tells us the candle that starts tomorrow is for altcoins.” The chart analyzed over a six-month period reveals a significant interaction with long-term trendline resistance for BTC Dominance (BTC.D). A rejection at this resistance level could lead to a notable decrease in BTC dominance, allowing altcoins to mount a recovery. Understanding the ETH/BTC Ratio as a Barometer for Altcoin Performance In addition to Bitcoin’s dominance metrics, the ETH/BTC ratio offers critical insights into the altcoin landscape. This ratio not only reflects Ethereum’s price relative to Bitcoin but also serves as a vital indicator of altcoin health, especially considering Ethereum’s position as the leading altcoin. Notably, market analysis firm SwissBlock pointed out that the ETH/BTC ratio appears to be reaching a bottom phase. They remarked, “Is it time for altcoins to shine, at least for a while?” Despite an overall market retrenchment, certain altcoins showcased significant gains. Virtual Protocol (VIRTUAL) surged nearly 30% to reach $4, alongside…
Filed under: News - @ January 1, 2025 11:13 am