Cryptocurrency analysts are forecasting a significant shift in market dynamics, suggesting Bitcoin‘s BTC/USD recent dominance could decline in favor of alternative cryptocurrencies by the end of this month.
What Happened: Leading cryptocurrency trader Milkybull predicts a “violent decline” in Bitcoin’s market dominance next month, projecting an “altseason” that could extend through March. “It’s going to get wild for the next few months,” Milkybull posted on X, formerly Twitter.
Technical analyst Ash Crypto echoed similar sentiments, citing that the altcoin market cap’s two-week MACD indicator approaches a “golden cross,” a pattern not seen since 2023. “Last time it happened, altcoin market cap pumped 300%,” Ash noted, predicting “the biggest altseason” within 4-6 weeks.
The MACD, or Moving Average Convergence/Divergence indicator, is a technical indicator that is used to trade based on trends.
Why It Matters: Altcoin Season occurs when 75% of alternative cryptocurrencies outperform Bitcoin. Several major altcoins have already shown momentum, with Ethereum ETH/USD, Cardano ADA/USD, Solana SOL/USD, Ripple XRP/USD, Dogecoin DOGE/USD, and Polkadot DOT/USD each gaining over 10% in the past week.
Meanwhile, Bitcoin continues its strong performance, trading at $91,648.28, marking a 34% increase over the past month. However, analysts suggest this growth might temporarily slow as investors rotate into altcoins.
The timing of these predictions coincides with Bitcoin’s recent all-time highs and the growing institutional adoption of cryptocurrencies, particularly following the approval of spot Bitcoin ETFs in January.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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