These signs suggest that altcoin season is upon us

Being the largest cryptocurrency by market cap by a substantial margin, BTC led the pack after Donald Trump won the US election by rising from $68,000 to over $90,000 in a matter of weeks. This was somewhat expected, given Trump’s pro-bitcoin stance during his campaign when he appeared at BTC’s annual conference in the United States and even paid for a hamburger with the asset.

While several altcoins posted impressive gains in the same time period, bitcoin’s dominance soared to nearly 60% on CoinGecko and well above that number on other resources such as CoinMarketCap and TradingView.

Now, however, the picture seems to be changing even as BTC broke above $100,000 earlier this week and painted a new all-time high of over $103,500.

The first major signs of the altcoin season became evident this week, with altcoins reclaiming a significant share of global market dominance. pic.twitter.com/S5PeAcnbq6

— IntoTheBlock (@intotheblock) December 6, 2024

The community has long speculated about the start of a new altcoin season, a time period when altcoins are posting massive gains, especially compared to BTC. These periods, which usually last several months, come after a notable rise in bitcoin itself.

BTC’s decline in market dominance over the past week is among the strongest indicators that the peak hour has arrived. Perhaps this is most evident in the performance of ETH. The largest altcoin was a bit sluggish after the election, rising modestly from around $2,600 to $3,000, where it stayed for a while.

However, it started to rise in value more substantially over the past ten days and jumped above $4,000 for the first time since March on Friday evening. Consequently, it caught up with other massive gains during this cycle, including XRP, DOGE, XLM, HBAR and many more.

In fact, CoinGecko data shows that BTC is near the bottom in terms of the biggest gains for the past month among the top 100 cryptocurrencies. Its “modest” 32% increase is far from leaders like HBAR (612%), XLM (403%), XRP (350%), ALGO (309%), IOTA (307%), SAND (250%). , etc.

Many industry experts have speculated about the environment surrounding the altcoin season this cycle. Earlier this month, the CEO of CryptoQuant said that the next season will be very different from the previous ones, as only a handful of assets will beat expectations.

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