According to a recent report by Bitfinex analysts, altcoins may not experience significant gains until new crypto ETFs beyond Bitcoin and Ethereum are approved.
Current Market Conditions
Bitfinex analysts note that the current state of the crypto market reflects "a softer appetite for risk at this stage of the cycle." Despite positive inflows into digital assets, the pace is subdued compared to sharp surges seen during previous all-time highs. Investors appear more cautious this time around, avoiding aggressive positioning.
Speculation Over New ETFs
Much of the industry's focus has shifted toward the regulatory landscape regarding crypto ETFs. The SEC has recently postponed decisions on a range of applications, including a Bitcoin-Ethereum hybrid ETF and Solana funds. These delays have fueled debate on how quickly altcoin-focused ETFs will be launched and their impact once in the market.
Diverse Expert Opinions
Despite the cautious perspective from some analysts, such as those from Bitfinex, others like David Duong from Coinbase suggest that market conditions may soon tilt in favor of altcoins, possibly leading to a full-scale altcoin season early in September.
Currently, the market is awaiting new crypto ETFs and their potential impact on altcoins. Time will tell how soon new investment products capable of supporting the market will emerge.
