Recently, many friends have asked me, 'Will this wave of the altcoin season really come or not?'
What I want to say is that the altcoin season hasn’t disappeared; it has merely been postponed.
To put it simply, this is more like a period of accumulation; everyone is ready to welcome a big explosion—it’s just a matter of time.
The Federal Reserve hasn’t lowered rates; is there no money for altcoins to take off?
The Federal Reserve has recently remained inactive again, maintaining interest rates between 4.25% and 4.5% for the fourth consecutive time. The core reason is still that inflation is too high, currently at 2.8%, far above their ideal of 2%. In other words, there’s no money to inject large-scale into the market, and funds are not that abundant, making it naturally difficult for altcoins to surge.
Historical experience tells us that the explosion of altcoins cannot be separated from the support of 'cheap funds + liquidity'. Without rate cuts and liquidity, funds are unlikely to flood into small coins, and the price growth will naturally be limited.
But altcoins are not dead; they are quietly accumulating.
In fact, during this period, most altcoins are in a phase of sideways consolidation. There hasn’t been a significant drop, nor a surge; this 'calm' state is the best time for smart investors to start slowly building positions.
It’s like the calm before a storm—accumulating energy, preparing for a big move.
The key to triggering the altcoin season: two conditions must be met.
For altcoins to thrive in the future, at least two things must be satisfied:
The dominance of Bitcoin is weakening; for example, after BTC breaks $100,000, it is no longer as strong, and market funds begin to split.
Liquidity is recovering, which usually means the Federal Reserve is starting to cut interest rates or ease policies, and more funds are beginning to flow into the market.
Before that, the rise and fall of altcoins will still be influenced by the progress and news of each project; the real carnival will have to wait for those two triggers.
Good news: The four-year cycle of altcoins has just been confirmed!
What’s even more exciting is that the altcoin index has entered the famous four-year cycle range. This cycle, as everyone should know, is precisely the rhythm of the altcoin explosion in 2017 and 2021.
In other words, the spring of altcoins is indeed coming soon, just slightly later than everyone expects.
Summary:
#Altcoin season has not been canceled, it has just been postponed.
#The Federal Reserve is temporarily not cutting interest rates, and funds are temporarily not easing, limiting the rise of altcoins.
#The altcoin market is accumulating, waiting for the preparation phase for an explosion.
Once the Federal Reserve cuts interest rates and liquidity recovers, altcoins are likely to welcome a significant rebound.
The confirmation of the four-year cycle of the altcoin index has historical precedents, and the probability of an explosion is extremely high.
So, don’t rush; this wave of the altcoin bull market has just pressed the pause button and may start at any time. Now is a great time to seize the opportunity to build positions and layout, be patient, the opportunity will come soon.
That's all for this article! If you are confused in the crypto space, consider joining me in positioning and harvesting from the market makers!