🚀 Ethereum strongly advances to $4,500, and the ETH/BTC ratio hints at an impending altcoin season explosion🔥
In the past week, the movements in the cryptocurrency market can be described as 'changing winds'🌪️. Bitcoin (BTC) has slightly declined, while Ethereum (ETH) has shown relative strength. The ETH/BTC ratio is testing the key resistance level of 0.04, and once it breaks through, it is likely to trigger a comprehensive breakout of the altcoin season💥.
📊 Current market overview: Ethereum remains strong, Bitcoin slightly pulls back
As of now, Ethereum is holding around $4,500; although it has slightly retreated from last week's opening price, it still shows resilient bullish strength💪. In contrast, Bitcoin's performance appears somewhat weak: it dropped 0.42% mid-week, retreating from a high of $124,000 for three consecutive weeks, with weekly closes trending lower, indicating that BTC has not yet hit bottom, leaving room for further pullbacks⏳.
In terms of market dominance, BTC.D rebounded to 57%, while ETH.D fell by 3.5%, indicating a clear change in market structure📉. The key question now is: moving forward, will market dominance belong to Bitcoin or Ethereum?
🔑 ETH/BTC ratio: A barometer for the next altcoin season
Since Q3 2022, ETH/BTC has faced directional pressure for the first time. At that time, the currency pair plummeted nearly 40% to 0.07, while BTC.D fell to 38%, and the altcoin quarterly index rose to 98 points💹. This means that funds flowed into altcoins, triggering a comprehensive rotation in the market.
However, the situation in December 2024 was different. At that time, the index briefly reached 88 points, but the ETH/BTC ratio fell below 0.04, dropping to a five-year low of 0.017⚠️. This indicates that throughout the rally, capital still favored Bitcoin.
Since late June, the ETH/BTC ratio has doubled, currently testing the resistance level of 0.04, which is the steepest upward trend since 2021📈. Meanwhile, the altcoin season index has climbed to 61, suggesting that the current upward trend is more driven by altcoins rather than solely influenced by BTC overflow effects like in December.
In other words, once the ETH/BTC ratio completely breaks through 0.04, it is likely to trigger a new round of comprehensive rotation in altcoins, just as we saw during the 2022 cycle💥.
💪 Ethereum shines: the pullback is also a healthy signal
Despite a recent 4% pullback in ETH, it remains 6% above the weekly baseline of $4,300, indicating that bulls may be building a bottom🏗️. The continued inflow of ETFs has also added to the upward momentum, strengthening the market's bullish expectations for Ethereum📊.
In contrast, Bitcoin's decline reflects market hesitation, with funds possibly waiting to see the direction of the next market cycle⏳. This critical technical divergence suggests that Ethereum is still in a bullish zone, and bulls have the opportunity to position themselves ahead of a breakout when the ETH/BTC ratio surpasses 0.04💡.
Meanwhile, the recent pullback is actually a healthy reset of the market—eliminating weak players and cooling an overheated derivatives market🛠️, preparing for the next upward movement.
🔮 Altcoin season index rises in sync
As the ETH/BTC ratio tests and rises, the altcoin season index is also climbing in sync📈. This indicates that the market is at a critical juncture for capital rotation, and a comprehensive breakout of altcoins may be imminent. Historical data shows that whenever ETH/BTC experiences a breakout like this, the altcoin market typically sees strong gains.
It is expected that once market sentiment further confirms, investors may see the following phenomena:
Altcoin prices are generally rising, with hot projects making appearances one after another🔥
Funds are flowing from Bitcoin into altcoins, with a surge in market trading volume💸
Technical indicators further confirm the breakout trend📊
In other words, if you're still on the sidelines, now is a critical moment to pay attention to the ETH/BTC ratio👀.
📌 Summary: Is the altcoin season about to arrive?
Ethereum is strong: holding near $4,500, with solid bullish resilience💪
Bitcoin pullback: three consecutive weeks of decline, and the market has not yet hit bottom⏳
ETH/BTC ratio key: the 0.04 resistance level is a barometer, and once broken, it may trigger an altcoin season explosion🔥
Altcoin season index rises: indicating that a new round of market rotation is on the way📈
Overall, the market is entering a decisive week. This is not only an opportunity for #ETH , but also a prelude to a comprehensive rotation in altcoins🎬. If the ETH/#BTC ratio successfully breaks through 0.04, we are likely to welcome a new round of altcoin festivities!🚀
So, altcoin fans, it might be wise to patiently pay attention; the bulls are quietly positioning themselves, and the next market cycle may be more intense than you expect💥.
