crypto for all
Join
A
A

The End of the Altseason ? Experts Weigh In on Crypto Trends

Thu 28 Nov 2024 ▪ 4 min read ▪ by Luc Jose A.
Getting informed Altcoins

As traditional financial markets continue to evolve, the crypto world remains marked by a crucial question: where has the altseason gone? This phenomenon, characterized by a spectacular surge in altcoin prices, seems strangely absent despite a favorable market context for bitcoin. According to Ki Young Ju, CEO of CryptoQuant, this delay is not a coincidence. This expert points to a fundamental problem: the lack of new capital from retail investors’ portfolios.

A conference room with a board about the Altseason

The fragile foundations of an anticipated cycle

Ki Young Ju highlights a serious reality for crypto investors. The absence of a new altseason is mainly due to the lack of liquidity injected by new entrants into the markets. “For altcoins to reach a new historical peak, they will need a significant influx of fresh capital on exchange platforms,” he explains. Data shows that institutional investors, while important for the crypto ecosystem, are focused on major assets like bitcoin and ether, leaving altcoins on the sidelines.

Indeed, analysts also find that current altcoin cycles are struggling to gain momentum, as they often depend on the momentum provided by bitcoin. But this time, even the gains made on major assets are not translating into significant rotations towards smaller projects. This stagnation reveals a new dynamic in which altcoins can no longer rely solely on bitcoin’s aura to attract attention and capital.

The future of altcoins : independence or disappearance ?

For altcoin advocates, Ki Young Ju’s analysis is a call to action. According to him, projects must refocus on autonomous strategies to attract new investors. He insists: “altcoins must stop relying on bitcoin’s momentum and concentrate on independent initiatives to attract capital.” This viewpoint resonates with traders, who also note a resurgence of interest in ether futures, signaling a potential awakening of retail investors.

Meanwhile, the growing involvement of retail investors in “crypto-adjacent” assets, like MicroStrategy stocks, shows that a retail enthusiasm can still manifest. However, this interest remains fragmented, and signals of recovery for altcoins are far from universal. Additionally, the proliferation of marketing strategies and the emphasis on innovation within altcoin projects could play a key role in this transformation.

The implications of these trends go well beyond current prices. If altcoins fail to generate sufficient traction, their relevance could be called into question in a crypto ecosystem increasingly dominated by bitcoin and ether. Conversely, a strategic mobilization to attract the interest of retail investors could mark the beginning of a new chapter for secondary cryptos. In a constantly evolving market, the question is no longer whether altseason will return, but how and under what conditions it might manifest.

Maximize your Cointribune experience with our "Read to Earn" program! For every article you read, earn points and access exclusive rewards. Sign up now and start earning benefits.



Join the program
A
A
Luc Jose A. avatar
Luc Jose A.

Diplômé de Sciences Po Toulouse et titulaire d'une certification consultant blockchain délivrée par Alyra, j'ai rejoint l'aventure Cointribune en 2019. Convaincu du potentiel de la blockchain pour transformer de nombreux secteurs de l'économie, j'ai pris l'engagement de sensibiliser et d'informer le grand public sur cet écosystème en constante évolution. Mon objectif est de permettre à chacun de mieux comprendre la blockchain et de saisir les opportunités qu'elle offre. Je m'efforce chaque jour de fournir une analyse objective de l'actualité, de décrypter les tendances du marché, de relayer les dernières innovations technologiques et de mettre en perspective les enjeux économiques et sociétaux de cette révolution en marche.

DISCLAIMER

The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.