- Bitcoin’s price volatility dropped sharply, allowing altcoins to shine
- Altcoin season index revealed that the market will soon turn in the alts’ favour
Bitcoin [BTC] investors have been waiting for a long time to see the king coin hit $100k, but it’s taking too much time. Could this wait be any longer? Well, a few recent updates could push BTC into the backseat and allow altcoins to shine in December 2024.
Does this mean a fresh altcoin season is arriving soon?
Bitcoin’s dominance is dropping
Over the last few days, Bitcoin has been consolidating near the $96k range. This has contributed to a massive decline in the king coin’s volatility. This drop in volatility has led to yet another major development.
Captain Faibik, a popular crypto analyst, recently shared a tweet revealing this incident. According to the same, Bitcoin’s dominance has been moving inside a rising wedge pattern since the beginning of 2022.
Recently, the graph broke out of this pattern but in a southern direction, hinting at a hike for altcoins. In fact, Captain Faibik even spoke about a 2024-2025 altcoin season in the tweet.
Source: X
Is an altcoin season actually here?
The fall in BTC’s dominance is actually helping altcoins raise their own market share. As reported previously by AMBCrypto, many are speculating there may be a fresh altcoin season ahead. While the odds are in favor of that happening in 2025, the recent trend of events suggests that it might happen sooner than expected.
In fact, it might have already started. For example, Ethereum [ETH], the king of altcoins, remained bullish in the last 24 hours as bulls pushed its price up by more than 3%. Other alts with large market capitalizations have also seen promising performances.
Topping the list was XRP, with gains of over 12% in the last 24 hours alone.
Additionally, AMBCrypto’s analysis revealed that the altcoin season index registered a sharp uptick and reached 67, at press time. For reference, a value closer to 75 hints at an altcoin season.
Source: Blockchaincenter
Since Ethereum is the market’s top altcoin, AMBCrypto planned to examine it to find out whether its on-chain data hinted at a sustained bull rally. An assessment of the same could help pinpoint the upcoming altcoin season.
Well, despite its latest price uptick, ETH’s NVT ratio has remained low. A decline in this metric means that an asset is undervalued, hinting at a sustained price hike.
Source: Glassnode
According to the altcoin’s daily chart, it was testing its resistance at press time. However, the problem was that its Relative Strength Index (RSI) was about to enter the overbought zone. This might trigger a selling spree and restrict the token from moving further up the charts.
Read Ethereum [ETH] Price Prediction 2024-2025
Therefore, while most metrics and market conditions hinted at an altcoin season, it still remains a question whether it’ll happen in the short-term or not.
Source: TradingView
