Bitcoin is stabilizing around $119,366, while many altcoins are recording significant increases of 3–8%.
Ethereum, XRP, Solana, Dogecoin, and Cardano are showing notable resilience with impressive price increases. The Altcoin Season Index is rising rapidly, signaling positive signs for the altcoin market in the near future.
MAIN CONTENT
The Altcoin Season Index increased from 39 to 51, indicating a recovery of altcoins.
Ethereum breaks the $3,793 level, laying the groundwork for the next altcoin price increase.
Bitcoin dominance has sharply decreased below 61%, reinforcing the trend of investor shifting towards altcoins.
What is the current Altcoin Season Index and what does it mean?
The Altcoin Season Index has just increased from 39 to 51 in a few days, indicating some strength in the allocation towards altcoins.
According to CoinMarketCap data, this index is currently at 56, reflecting positive signals but has not yet reached the full altcoin season phase (above 75). Ethereum is currently trading around $3,793, the highest level since early 2022, while Dogecoin surged by 9% and increased a total of 32% over the past week. This is an early sign that altcoins are gradually gaining dominance in the market context.
Expert analysis on the current trend of the altcoin market
Analyst Michael Van De Poppe suggests that the current short-term fluctuations may lead to a significant correction, however, this will be a healthy correction within a larger upward trend. He predicts that in the next 6 months, altcoins will maintain a strong growth trajectory.
"While there may be a short-term correction, the long-term trend for altcoins is very positive and is expected to continue to break out in the next six months."
Michael Van De Poppe, Cryptocurrency analyst, 2024
How is Bitcoin dominance fluctuating and how does it affect altcoins?
Bitcoin dominance decreased by 5.8% last week to below 61%, the lowest level since March. This is a sign that capital is shifting from Bitcoin to altcoins, with Ethereum leading the way.
This decline reflects a shift in investor focus towards seeking stronger growth opportunities in altcoins, especially as Ethereum surpasses the important milestone of $4,000, which could trigger a new bull cycle for the entire altcoin market.
What does the TOTAL2 index signal for the upcoming altcoin trend?
Expert Moustache analyzes the TOTAL2 chart – tracking altcoin market capitalization – which is preparing to break through a resistance level that has existed for 8 years. If the 2-week candle closes above this level, a strong altcoin bull run could begin.
This is seen as a very positive sign, reinforcing the premise for investors to increase interest in large-cap altcoins with high growth potential.
Will the altcoin rally be sustainable until the end of the year?
Expert Benjamin Cowen warns that altcoin pairs against ETH have dropped 40% since April, indicating that part of the current altcoin strength is due to Ethereum rather than a general market consensus on growth. He predicts that the altcoin rally could peak by the end of August, after which Bitcoin dominance may increase again in September or October.
"Although Ethereum remains strong, the altcoin rally may not last beyond August, preparing for the return of Bitcoin dominance in the last months of the year."
Benjamin Cowen, Cryptocurrency market analyst, 2024
Frequently asked questions about the current altcoin trend
What is the Altcoin Season Index and what does it mean?
This is an index that measures the strong price increase ratio of altcoins compared to Bitcoin. An index above 75 typically signals that 'altcoin season' is occurring, attracting significant investment.
What price is Ethereum currently trading at?
Ethereum is around $3,793, this is the highest level since the beginning of 2022, serving as the main driver of the altcoin trend.
How does the decrease in Bitcoin dominance affect the market?
The decrease in Bitcoin dominance indicates that capital is shifting towards altcoins, often laying the groundwork for a stronger altcoin bull run.
Are there any signs that altcoins will surge strongly in the near future?
The TOTAL2 index is about to break an 8-year trendline and Ethereum is challenging the $4,000 mark, forecasting a significant altcoin rally may trigger.
How long can the altcoin rally last?
Experts predict that altcoin growth may end by the end of August, with Bitcoin dominance likely to recover in the fall.
Source: https://tintucbitcoin.com/altcoin-tang-khi-bitcoin-giam-nhiet/
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