Altcoin Season Loading: Are We on the Verge of a Major Rally?
The crypto market has been buzzing with speculation as Bitcoin continues its mid-cycle journey while Ethereum lags behind. Amidst the turbulence, many investors are keeping a keen eye on altcoins, anticipating what might be the dawn of a new altseason.
With the Altcoin Golden Cross recently flashing—a historically significant signal for massive rallies—there’s a growing sense that altcoins are primed for their moment.
Understanding the Cycle
One of the most pressing questions is whether we’re still riding a bull market wave or if a correction is imminent. To gain clarity, we must dive into key market indicators and analyze Bitcoin’s current position within the cycle.
Bitcoin’s Market Cycle
Bitcoin remains firmly in a confirmed bull market, though far from the euphoric peaks of previous cycles. On-chain data suggests there is room for further upside, but emerging signs of profit-taking hint at caution. Key indicators paint a nuanced picture:
MVRV Z-Score: Indicates that Bitcoin is neither overvalued nor undervalued, pointing to a mid-cycle phase.
NUPL (Net Unrealized Profit/Loss): Currently in the ‘Optimism/Denial’ phase (~0.48), signaling that most holders are still in profit.
Long-Term Holder SOPR: Stands at 1.5, suggesting long-term holders are taking profits, though not in an aggressive manner.
CryptoQuant Bull-Bear Market Cycle Indicator: Confirms Bitcoin’s strong uptrend without showing signs of overheating.