Is Ethereum Responsible for the Delay in Altcoin Season?
The Altcoin Season Index at 35 suggests that many tokens remain in a depressed state. Ethereum's declining network growth and volume may hinder an upswing.
Altcoin Season Index Fails to Sustain Momentum
An altcoin season requires the index to reach 75. While it briefly hit this level in January and March, it quickly fell back.
ETH and Other Tokens Underperform
Tokens like ETH, Cardano, and Ripple have seen price declines over the last 90 days. Only a minority of top 50 cryptos have outperformed Bitcoin.
Ethereum's Impact
In 2021, Ethereum's surge played a significant role in activating altcoin price increases. However, ETH has not exhibited the same momentum in the current market.
Network Growth and Volume Concerns
Ethereum's network growth is currently at 3131, indicating unimpressive adoption. A decline in this metric could hinder ETH's price movement. Volume has also dropped significantly since Ethereum's all-time high.
Conclusion
ETH's current performance may be delaying altcoin season. Network growth, volume, and the overall sentiment suggest that a notable price increase for altcoins is unlikely in the near future.