Since the rise of the crypto market, it has primarily been Bitcoin (BTC) that captures the most attention. Although there have been a few standout performances, most altcoins remain in the background.
With the recent approval of Ethereum (ETH) Exchange-Traded Funds (ETFs), many are speculating again about a possible 'altseason.' Many analysts expect the market to shift soon, giving altcoins the attention they finally deserve.
Strong Growth of Ethereum Accompanies Decline in Bitcoin Dominance
In the past week, Ethereum has taken a leading role in the crypto market. On Monday, Ethereum's price surged by an impressive 20 percent following positive ETF rumors. When the U.S. Securities and Exchange Commission (SEC) approved several ETFs on Thursday, the price continued to rise.
In the past 24 hours, Ethereum has risen by about 4 percent, bringing the $4,000 mark within reach again. This surge has led to speculation about an altseason, as capital often flows from Ethereum to smaller-cap coins. While Bitcoin remains dominant, Ethereum now seems to be more in the spotlight.
Over the past two weeks, Bitcoin has lost ground in the crypto market. This is evident from the declining Bitcoin dominance, the percentage of the total market capitalization occupied by Bitcoin. Bitcoin dominance has fallen by 3.7% to 53.9% in two weeks, indicating growing strength for altcoins.
Crypto Analysts Predict Future Growth of Altcoins
Various analysts predict a booming period for altcoins, provided a significant resistance level is broken.
Trader Tardigrade told his nearly 50,000 followers on the social media platform X that the total market capitalization of altcoins could triple if they break out of a so-called 'inverse head-and-shoulders pattern.' He expects this pattern to manifest within a few weeks.
Crypto analyst Yoddha also noted on X that altcoins are currently around a crucial resistance zone. According to him, altcoins need just a small push to climb above a strong weekly resistance, which could lead to an "insane" rise.
Whether Bitcoin will indeed take a step back and allow altcoins to flourish remains to be seen. For now, it is not surprising that many altcoins are still trading far below their respective record prices. In previous cycles, altcoins only started to gain prominence after the Bitcoin halving.
