Analyst names signal indicating the start of

Analyst names signal indicating the start of "alt-season

Author: Robert Strickland (crypto expert)

Analyst names signal indicating the start of "altseason"
Matrixport analyst named a signal indicating the possible beginning of the "altseason"
Bitcoin's share of the cryptocurrency market has been unable to cross the 48% mark for a month. Its decline may precede the beginning of the rise in the prices of alternative tokens

Bitcoin's dominance in the crypto market may have peaked, signaling the potential start of an "altseason," according to Marcus Thielen, head of research and strategy at cryptocurrency company Matrixport, CoinDesk writes.

Matrixport is a Singapore-based crypto platform owned by billionaire entrepreneur Jihan Wu. The platform has a monthly trading turnover of $5 billion. Matrixport has $10 billion in assets under management (AUM) and serves clients from 40 countries.

In the first quarter of this year, bitcoin's share rose from 42% to 48%, and since then it has been unable to surpass that level for nearly a full month, Thielen notes. Over the past two years, it has fluctuated between 38% and 48%, with declines from levels of 46% to 48% coinciding with a sharp rise in altcoins.

Experts assessed the prospects for the start of the altcoin season in the crypto market

The total market capitalization of altcoins rose more than 60%, to $1.39 trillion, within two months after BTC's dominance rate dropped from 48% in July 2021. A similar situation occurred in mid-October 2021 and in June 2022 - after Bitcoin's market share declined during those periods, other cryptocurrencies rose in value.

History could repeat itself, Thielen believes. In his opinion, bitcoin's dominance will peak this time around at the same levels as in 2022 - at 45-46% of the total cryptocurrency market capitalization.

"If bitcoin continues to outperform the rest of the ecosystem, it will mean that only bitcoin is valued. That seems unlikely, given the intellectual and financial capacity deployed in other blockchains," the analyst said.

Other news

We've sold everything. Expert names reasons for crypto market downturn
The losses of miners after the halving were estimated at $10 billion. Where does this figure come from?
Robert Kiyosaki cited reasons for not investing in Bitcoin via ETF.
Chapter Hut 8 CEO Discusses Banks' Interest in Buying Bitcoin from Miners
Expect volatility. What will happen to Bitcoin in the coming week?
The head of BlackRock has stated about the potential of Bitcoin