The US Federal Reserve cut interest rates by 25 basis points, and with that, expectations for the long-awaited altcoin season have risen. However, as is often the case in the crypto market, the picture is not simple, and there are supportive factors as well as others that may hinder the path.
✅ Factors supporting the altcoin launch
1 Larger cash facilitation: cheap liquidity drives investors towards high-risk, high-return assets like cryptocurrencies.
2 Declining Bitcoin dominance: Technical indicators like 'Death Cross' suggest a potential shift in liquidity from BTC to altcoins.
3 Technical and fundamental momentum: Currencies like ETH, XRP, and LINK are showing notable activity with supporting movements from whales.
4 Historical timing: The last quarter of the year is often a recovery season for digital assets, and with interest rate cuts, the likelihood increases.
⚠️ What could disrupt the altcoin season
1 The pace of interest rate cuts: The Fed's slowness may shock the market and delay the rise.
2 High inflation: If it continues, the Fed may be forced to return to tightening.
3 Bitcoin strength: Its continued dominance delays the flow of liquidity towards altcoins.
4 Regulatory and political factors: Any sudden tightening or geopolitical disruptions could derail momentum.
💡 Summary
All indicators suggest we are closer than ever to starting the altcoin season, but the real spark will appear at:
• Altcoins clearly outperform Bitcoin
• Strong technical breakthroughs for major currencies
• Continuation of interest rate cut policy without surprises
🔮 If this path continues, the last quarter of 2025 could be the actual beginning of a strong altcoin wave... but always remember: in crypto, predictions can turn in an instant.