A recent report from Coinbase raises optimism, predicting a possible altcoin season starting in September. It is expected that many altcoins will outperform Bitcoin.
Coinbase's Altcoin Season Forecast
Coinbase has released a report titled 'Monthly Outlook: Altcoin Season Cometh,' projecting a positive trend and the possibility of an altcoin season starting as early as September. Analysts believe this is when at least 75% of the top 50 altcoins by market capitalization will consistently outperform Bitcoin over a 90-day period.
Bitcoin Dominance Shift
A key indicator supporting Coinbase's optimistic outlook is the noticeable decrease in Bitcoin dominance from 65% in May to approximately 59%. This decline is often interpreted as an early signal of capital rotation, suggesting that funds are moving out of Bitcoin and into altcoins.
Macroeconomic Factors and Liquidity
In its report, Coinbase emphasizes the importance of macroeconomic factors. A substantial increase in global liquidity is expected to stimulate growth across various asset classes, including cryptocurrencies. This situation, combined with a rising altcoin market cap and positive trends, sets the stage for potential altcoin growth.
Coinbase's report presents a robust and optimistic forecast for the upcoming altcoin season, driven by changes in Bitcoin dominance and market sentiment. While future movements are not guaranteed, this outlook generates interest in cryptocurrencies and presents opportunities in the coming months.
