Altcoins Poised for Q2 2025 Recovery Amid Regulatory Improvements, Says Sygnum Bank
Swiss digital asset bank #Sygnum anticipates a potential rebound in the altcoin market during the second quarter of 2025, attributing this outlook to significant advancements in cryptocurrency regulation. In its Q2 2025 investment outlook, Sygnum highlights that the evolving regulatory landscape, particularly in the United States, is laying a solid foundation for altcoins to recover from previous downturns.
The report notes that the resignation of former SEC Chairman Gary Gensler and the appointment of pro-crypto successor Paul Atkins have led to a more favorable environment for digital assets. This shift is expected to benefit altcoins disproportionately, as they were previously more affected by regulatory uncertainties.
(Sygnum Bank)
Despite these positive developments, Sygnum cautions that the improvements have not yet been fully reflected in altcoin prices. The bank suggests that protocols which successfully attract user adoption are likely to perform well, while Bitcoin's market dominance may decline as a result of increased interest in alternative cryptocurrencies.