Analyst: Altcoin season index signal fires off
According to the index, altcoins have outperformed Bitcoin in the last 90 days.
Crypto Banter, a YouTube-based crypto analyst, released a video on Jan. 15 highlighting a signal many crypto experts use that has just fired off for the altcoin market, starting what some believe might be the 2024 bull run.
The analyst also referenced its bubbles chart, highlighting that on a weekly timeframe, SUI is up 82.3%, Celestia (TIA) is up 48.3%, and Helium (HNT) is up 47%, while Bitcoin (BTC) shows a 2.8% decrease in the same period.
The analyst relays that what matters most is not Twitter sentiment but whether new capital flows into the altcoin market.
Looking at three indicators: true altcoin market cap, the altcoin market cap with Ethereum, and the altcoin market cap with stablecoins, all technically flowing onwards and upwards, suggests new money is coming into the market.
“We are still in the infancy of this move,” the analyst adds.
Looking at the BTC and ETH dominance, the analyst highlights a proper breakdown with the 200-day moving average already closed below and now falling into technical support. ETH dominance has since had a break in structure, now sitting higher than the 200-day moving average, suggesting a bullish trend.
The analyst concludes that to determine if altcoin season really is here, traders should consider all of the above metrics in addition to the chart of the coin in front of them.
