As Bitcoin shows signs of stabilizing, excitement is mounting regarding the potential emergence of a fresh altcoin season. The recent fluctuations in price have stirred conversations and conjecture among traders regarding the likelihood of an impending altcoin surge.
Is Bitcoin’s Price Recovery Enough to Fuel the Next Altseason?
Before the weekly close on April 28, Bitcoin surged past $64,000, with data indicating a strengthening trend in its price over the weekend.
Currently, Bitcoin is hovering around $62,600, while the overall altcoin market capitalization has experienced a modest 1% increase, suggesting a potential positive trajectory for these alternative cryptocurrencies.
Trader and commentator Moustache has forecasted a forthcoming altcoin season, comparable to the heights seen during the 2017 all-time highs.
In response to the altcoin market activity, prominent trader Skew, on X (formerly Twitter), observed, “Alts bounced nicely, but it’s crucial to break the pattern of setting weekly highs on Mondays and Tuesdays.”
Skew highlighted the possibility of sell-side pressure impeding Bitcoin’s advancement toward its recent highs.
The trader indicated that Tether is striving to regain its position after a dip earlier this year, which was interpreted as a backtest after breaking below a rising trendline.
According to Skew, there exists an inverse correlation between the value of USDT (Tether) and the value of altcoins.
Ethereum’s Possible Contribution To The Next Altcoin Season
Over the past six months, Ethereum has witnessed a significant decline in price attributed to a surge in gas fees.
ETH has plummeted by 10.46% this month alone since reaching its high of $3,722 on April 9.
Despite a marginal 4.3% increase in the market over the past week, Ether has yet to show substantial signs of recovery.
Analysts from the crypto analytics platform Santiment have proposed that the decrease in Ethereum gas fees might indicate the onset of an impending altcoin season.
According to a post by Santiment on X, Ethereum’s average transaction fee has dropped to as low as $1.12.
Santiment anticipates a swifter rebound for Ethereum and its associated altcoins than previously anticipated, attributing this projection to the recent retracement and diminished demand on the network.
