Currently, the crypto market is experiencing a phase known as Bitcoin Season. The Altcoin Season Index indicates weak altcoin activity, reinforcing Bitcoin's dominance.
What is the Altcoin Season Index?
The Altcoin Season Index acts as an indicator reflecting the comparative strength of altcoins against Bitcoin. It tracks the performance of the top 100 cryptocurrencies over the last 90 days, indicating how many of these altcoins have outperformed Bitcoin in terms of price percentage gain.
Bitcoin Season vs. Altcoin Season: Dynamics
Bitcoin Season is characterized by Bitcoin's dominance, leading to increased market capitalization. In contrast, Altcoin Season represents a phase where altcoins outperform Bitcoin, often attracting more investor interest.
Current Crypto Market Analysis
The current state shows that the market is in Bitcoin Season with an index of 16, indicating Bitcoin dominance. This may be due to macroeconomic uncertainty, Bitcoin ETF momentum, and a market correction in altcoins.
Understanding indicators such as the Altcoin Season Index helps navigate the changing crypto landscape. While Bitcoin currently dominates, the prospects for altcoins may shift, and staying informed is crucial.
