Why Striking Similarities May Show If An Altcoin Season Is Possible
As Expectations for the Altcoin seasona new technical analysis of Bitcoin Advantage (BTC.D) has created striking similarities between the market cycle between 2021 and 2025, aiming to determine if the altcoin is on the verge of another bull run. . Historically, Bitcoin’s advantage has been a key indicator of predicting the possibility of altcoins. The decline of BTC.D It is often shown that investors’ attention to alternative cryptocurrencies will change.
Historical Bitcoin Advantage Signals May Be Altcoin Season
Luca, a crypto analyst on X (formerly Twitter), questioned whether history will repeat its past market trends in the current cycle. Analyst shared Two parallel charts tracking Bitcoin’s dominant market capitalization and The beginning of Altcoin season.
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The chart compares BTC.D market caps for the 2021 and 2025 cycles, revealing the peculiar patterns shown during this period The bull market in 2021. At that time, many investors expected BTC.D to be hit by high corporate resistance after the start of the alternative token season. But to the wider market, Bitcoin’s dominance deviates from resistance, leading to Large-scale sale of altcoins.
Luca Fast forward to 2025 and this narrative works again. As BTC.D drops below the 61% resistance zone, the market hopes to rotate to AltCoins. instead, BTC.D soars even higherdeviate again and trigger the mass surrender of the altcoin.
Luca’s Bitcoin Advantage Chart Shows the resistance zone that BTC.D strives to break through in 2021 and 2025. During both cycles, BTC.D deviates from this resistance level. However, after the 2021 turnover, Bitcoin’s advantage dropped sharply to the green area of 58% to 60%. The area corresponds to the major rally that inspired the start of the Altcoin season.
In the 2025 BTC.D chart, Luca highlights the next green area of about 54.56%. If the historical trend repeats, BTC.D may drop At this low level, and potentially triggering similar rally to kick off this cycle’s expected Altcoin season.
Currently, all eyes are on BTC.D as the market is waiting for the next move, which may Define the fate of altcoins in this bull market. Analysts point out that the key question remains: Will history repeat itself, or will the 2025 cycle run new courses?
Analysts say 2025 Altcoin season cannot be achieved
In another X Postsa crypto analyst, Brucer, believes Altcoin season may not happen During this cycle. He outlined three main reasons for his trailer analysis, highlighting that the Altcoin season has been driven by major events such as the 2017 ICO BOOM. However, the intensity of each cycle will vary and may not repeat the same conditions that lead to the altcoin season.
Second, Brucer notes that Altcoins is currently working to regain its previous highs, while Bitcoin’s dominance continues to rise, now exceeding 60% of its market cap. Finally, analysts suggest that it is unlikely to be the 2025 Altcoin season unless there is a major macroeconomic change.
Featured images from Unsplash, charts from TradingView.com
