The founders of analytics firm Glassnode believe that the time is getting close for when altcoins will start to outperform Bitcoin (BTC).
Jan Happel and Yann Allemann, who go by the handle Negentropic,tell their 63,200 followers on the social media platform X that altseason may arrive once Bitcoin breaks out of its all-time high (ATH) of about $74,000.
“Altcoins have followed the bullish momentum of Bitcoin. It seems that we are on the verge of an altcoin season. We are bound to experience it intensely once BTC breaks its ATH and enters uncharted territory.”
The analysts suggest that the upcoming altseason could be a part of a broad crypto market surge with all types of digital assets rallying at the same time.
“The classic is Bitcoin first, then rotation into ETH, then large caps, then mid caps, then small caps. Since May we have seen BTC push up three times without any sign of an altcoin season. Now we saw the altcoin cycle indicator spike to near 50 before Bitcoin showed strength. We have a feeling the next run-up will happen together.”
The Bitcoin-altcoin cycle indicator measures whether traders favor altcoins over Bitcoin. Values of over 50 indicate that Bitcoin is underperforming altcoins and that the market may be entering an altcoin season.
Bitcoin is trading for $64,246 at time of writing.
Generated Image: Midjourney