Bitcoin (BTC), the pioneer and largest cryptocurrency, has been taking the lead in the recent digital asset rally. However, there’s a buzz in the air about smaller players, known as “altcoins,” gearing up to shine.
Notably, Popular crypto analyst CrediBULL Crypto recently shared some intriguing thoughts on when the much-anticipated altcoin season might kick in.
So When Is The Alt Season?
In a recent analysis, CrediBULL Crypto revisits a familiar narrative, highlighting the historical correlation between Bitcoin’s performance and the initiation of the alt season. According to the analyst, the altcoins usually start gaining traction once Bitcoin surpasses its previous all-time high (ATH).
CrediBULL Crypto outlines two historical scenarios:
Mega Breakout Scenario
In this scenario, if Bitcoin breaks its prior ATH and quickly doubles in a matter of weeks, it usually experiences a mega breakout without much of a pause. Surprisingly, during this period, altcoins might not get much attention until Bitcoin takes a breather after its initial surge.
Consolidation Scenario
On the flip side, if Bitcoin reaches its prior ATH but faces rejection or consolidates at the highs for a few weeks before resuming its upward rally, a different pattern emerges.
In this case, altcoins often start gaining momentum right after Bitcoin reaches its previous highest point, even as Bitcoin consolidates.
Bitcoin Price Action
BTC is on the verge of revisiting its 2021 all-time high, surging to $67,000 this week with substantial inflows into spot bitcoin ETFs. It has marked an impressive 48% gain since the beginning of the year. Interestingly, the broader crypto market has seen a 33% rise during this period, shedding light on the relatively subdued performance of the altcoin sector.
Currently, Bitcoin is trading above the $67,010 mark, reflecting a 7.42% change over the past 24 hours, with the current market cap standing at $1,336.98 billion.
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