After the bullish start for the month, the Altseason was believed to have kicked off, reclaiming 3.5 years of resistance. Meanwhile, they are failing to gain momentum even in times when the BTC price consolidates after a notable rise. This suggests the market participants have currently concentrated on the star crypto and may remain until the token does not reach the peak of the prevailing bull run.
Not all the altcoins are behaving in a similar fashion at present. While the tokens like LINK, AAVE, etc. are pushing higher, others like MANA, ETH, ADA, etc. are consolidating and waiting for their moment. The Altcoin market cap was testing the crucial resistance at $1.64 trillion but the rejection that followed has circulated bearish waves with a fear of an extended pullback below $1.5 trillion.
Does this suggest the wait for a strong altseason could consume more time than expected?
As seen in the above chart, the market capitalisation excluding Bitcoin has faced a rejection just below it’s ATH at $1.71 trillion. It was expected to be a small pullback, but the second consecutive week under bearish influence raises many concerns. Mainly because the volume has reached the 2021 levels and a similar rejection could validate the bearish possibilities. However, the RSI, which has displayed a bearish divergence, is yet to mark the highs, which could be close to 85.
The Altseason experienced a Golden Cross in the past few days, which appeared to be much similar to the 2020-21 cycle. Therefore, considering a similar impact in the upcoming days, the Q1 of 2025 is expected to be pretty explosive. Although Bitcoin dominance has hit hard and is trying to rise, it is expected to fall eventually, leading the markets to witness one of the strongest Altseasons ever in history.
With this, it is required to be away from the memecoin FOMO and focus more on the projects with strong fundamentals. For instance, Worldcoin that works for identity & finance, Uniswap, is called the OG of DEXs with staying power. Meanwhile, AAVE, known as a DeFi powerhouse, Chianlink, which is called the backbone of DEX oracles and Maker-A key in stablecoins.
Along with these, Ondo is working on tokenized real-world assets, Solana is focusing on speed, scalability, & a thriving ecosystem, and BinanceCoin is the native token of a huge exchange with a wide range of utility.
