What will happen to altcoins next?
Today, Bitcoin and Ethereum are down, seemingly showing a trend of breaking downward. It’s another day of steep declines for altcoins; what’s next for them?
Have altcoins reached their peak or are they in a continuation upward?
First, the Altcoin Season Index is currently hovering around the midpoint of 40, having peaked at 59, but has not reached the high point of 75 or above. This means that altcoins do not yet have a clear trend of having reached a peak.
Based on previous movements of the Altcoin Season Index, it can reach the midpoint of 50-60 and then drop back down, only to later make a strong rally.
So the information conveyed by the current Altcoin Season Index is that it does not show a clear peak like in December 2024.
In other words, altcoins are not at an absolute high; they are more like halfway up the mountain.
Second, observing the global M2 liquidity indicator, from the leading 108-day chart, the market will continue for another two months.
However, the current trends of altcoins and Bitcoin diverge from M2.
Based on past correlations of M2 and cryptocurrencies, such divergences are usually corrected quickly.
From a macro liquidity perspective, it is favorable for the cryptocurrency market to continue moving upwards.
Third, the AHR999 indicator for Bitcoin is still at the investment line, not reaching absolute historical highs.
Although Bitcoin has already reached a historical peak of 120,000 USD, AHR999 has remained stable near the investment line, and a truly explosive market is still far from arriving; it is still brewing.
Fourth, almost all of Bitcoin's 20+ peak indicators have not been triggered.
In summary, I believe the overall context for altcoins is still an upward trend. We are currently in a consolidation phase.
If the main force wants to launch a big market, they won’t let everyone comfortably stay in their positions.
Before the launch, there must be a severe shakeout to get a significant number of people out.
Strong recovery, assets doubling! Keep an eye on the rain, layout in advance, and easily reap great profits.
Continuously pay attention to: GTC SKL
#BTC hits new highs
