It is widely accepted that the fate of the cryptocurrency market largely depends on the performance of Bitcoin (BTC), creating such times for crypto investors who choose to invest in altcoins. As we’ve reported at Kriptokoin.com, when the BTC price drops, altcoins tend to follow. But once a bottoming process begins, altcoins tend to rise during Bitcoin’s consolidation phases, often leading to the start of an alt season. While Bitcoin’s current drop below $30,000 suggests it’s a little early to call for an alt season, analysts cite 3 different metrics pointing to alt season. Here are the 3 metrics experienced traders use…
1- ETH/BTC price action can be an early indicator
Idea of the possibility of an altcoin season using the ETH/BTC chart as an indicator, Quoted by analyst alias PlanDeFi, who compared ETH/BTC’s 2016-2017 performance with the pair’s performance in 2021-2022 and posted the chart below. According to the projection provided, the next sub-season may start after the beginning of July and has the potential to extend until the end of 2022. Regarding the metric, PlanDeFi said:
Very similar, right? Accumulation > Refraction > Ascending Channel > Refraction. The market is bigger now, it just takes longer.
2- Altcoin season may be close
El_Crypto_Prof, who published the chart below by looking at the history of the altcoin market value, indicates that the crypto money market is at a breaking point. provided further insight into what might be approaching. Analyst El_Crypto_Prof, who thinks that the market is in Bitcoin season, told his followers about the chart:
When it comes to altcoins, I can see the following scenario happening. There are a lot of similarities with the previous cycle. The RSI also looks incredible. The next wave will upset many.
3-Market is firmly in “Bitcoin Season”
Algorithms are pleasing to the eye and not disappointing While it gives hope to frustrated investors, most of them do not happen and are not the right analysis methods to rely on when trading. The Altcoin Indicator provides a more metric-based method for predicting when the market is in “Bitcoin season” and “alt season”.
According to the chart above, an alt season seems unlikely to happen anytime soon as the metric currently provides a reading of 24, while the level required to indicate an alt season is 75. According to the index’s past performance, it took at least two to three months to reach the altcoin season level from the region, which indicates that it is Bitcoin season. According to the indicator, current forecasts suggest that an altcoin season may not begin until August or September 2022.
