- The anticipated altcoin season could still occur before the next Bitcoin halving.
- Altcoins like INJ, LINK and SOL are showing signs of strength and readiness for a rally.
For most of the second half (H2) of 2023, there was speculation that an altcoin season was approaching. But to the disappointment of the much-awaited, the altcoins failed to live up to the expectations.
How much is 1,10,100 BTC worth today?
For context, an altcoin season describes a period in which cryptocurrencies outperform Bitcoin. [BTC].
Patience is the name of the game.
However, trader and founder of MN Trading, Michaël van de Poppe, opined that this possibility should not be ruled out. He believed that Bitcoin’s growing dominance may have stopped the initial altcoin sentiment.
The analyst also mentioned that this cycle, being the longest bear market in history, may have also fueled the altcoin season.
#Altcoins They are in the last part of the bearish cycle.
Yes, it feels relatively painful. The sentiment has completely disappeared, there is no interest in cryptocurrencies.
The only thing that moves is #Bitcoin and yet it is necessary to overcome some levels.
The end of the bear market is near. Read here👇… pic.twitter.com/TLijWdMNKF
—Michaël van de Poppe (@CryptoMichNL) October 18, 2023
Previously, AMBCrypto had reported that Bitcoin’s increasing market dominance has pushed back Ethereum’s strength. [ETH]undulation [XRP]and Binance coin [BNB].
Despite the weakness shown by these cryptocurrencies, van de Poppe noted that the historic altcoin season would occur before the Bitcoin halving in 2024.
Furthermore, the analyst defended his point by giving an example of tokens that were performing well.
According to van de Poppe, the strength shown by players like Solana [SOL]injective [INJ]and chain link [LINK] It is proof that the current cycle would be no different from previous ones.
At the time of writing, INJ had a 10% increase in the last 30 days. Links performance In the same period there was also an increase of 8.76%, while SOL had an increase of 18.42%.
Source: Sentiment
The market may be ready for altcoins.
But price action isn’t the only metric that could affect potential performance. Other metrics relative Network activity can also help project how far a cryptocurrency’s value can go.
For starters, Injective’s 30-day active addresses doubled between October 15 and the time of writing.
Active addresses show the level of interaction around a project. Therefore, the increase in the metric suggests that there was a high level of speculation (possible accumulation) around the INJ.
In the event that the interaction maintains the status quo, the price of INJ may not be far from a substantial increase.
Another metric to consider in this regard is token circulation. But this time, the focus is on Chainlink.
At press time, LINK’s Circulation (30d) metric had dropped to 52.12 million, meaning that many of the tokens had not been used and remained idle within the aforementioned time period.
Source: Sentiment
Realistic or not, here is LINK’s market cap in terms of ETH
Normally, an increase in circulation would have suggested high selling pressure. But circulation decreased and LINK can continue to hold firmly at $7.
Furthermore, van de Poppe concluded that Ethereum’s weakness at press time was a sign of its latest correction against Bitcoin. Because of this, altcoins may be near their bottom and could be preparing to rally.
source: ambcrypto.com