Does Ethereum's Undervaluation Indicate the Arrival of Altcoin Season?

Signals from Ethereum's price metrics suggest that the anticipated altcoin season could be around the corner, as per a report by CryptoQuant. The ETH/BTC price ratio has risen by 38% in the past week, a trend historically linked to ETH price bottoms and subsequent altseasons.

Additionally, ETH's recent dip into an extreme undervalued zone relative to BTC, as indicated by the ETH/BTC Market Value to Realized Value ratio, is reminiscent of similar instances in 2017, 2018, and 2019, which were followed by periods of ETH outperforming BTC. Recent increases in ETH's spot trading volume relative to BTC, and a surge in ETF holdings ratio, also suggest growing investor interest in ETH.

Lower sell pressure on ETH compared to BTC further supports the potential for its gains.