Altcoin season’s timeline – What can we expect from this cycle in 2025?
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Altcoin season’s hypothetical timeline revealed that a true run higher may be yet to begin Bitcoin would need to grow much bigger to sustain the kind of altcoin seasons seen in the past With Bitcoin [BTC] fighting for control of the $100k-level, altcoins have had the time to trend higher. This is a general occurrence though – In a bull run, whenever BTC trends higher, most altcoin stand still and vice versa. It ties in well with the idea of capital rotation in the crypto market. Source: Blockchain Center The altcoin season index showed that it has been altcoin season for close to two weeks now, but the reading had already receded to 71 at press time. However, this does not mean that the cycle is over and it’s time to sell – Far from it. Altcoin season timeline, and the fuel that would drive it Source: CryptoQuant Stablecoins are critical for the crypto ecosystem. They provide a safe haven from volatility, provide liquidity to the market, and enable DeFi activities. A hike in stablecoin flows to exchanges is bullish and a sign of heightened buying power. For instance- We can see the Tether [USDT] exchange reserves rocketed higher over the past three months. Source: CryptoQuant Zooming in on the 2020-21 run, increased exchange reserves of Tether, one of the most popular stablecoins, coincided with a full-blown altcoin season. Minting stablecoins and their transfer from the treasury to centralized exchanges helps with liquidity and facilitating transactions, and is the ammunition for large buyers. The 2021 February jump in reserves was similar to the past two months, and it is possible that the true altcoin season is yet to arrive. In the previous cycle, it came in May and November 2021. This time around too, we might have to wait for…
Filed under: News - @ December 15, 2024 12:05 am