The founder of analytics firm Glassnode says altcoins could see one last decline before they start to outperform Bitcoin (BTC).
Jan Happel and Yann Allemann, who go by the name Negentropic, told their 63,400 followers on social media platform
“Altcoin opportunities are coming soon. Our Bitcoin-Altcoin Cycle Indicator shows that we are back to BTC dominance (below 50 on the chart). When Bitcoin pulls back and altcoins fall sharply, entry opportunities open up. If BTC breaks resistance and the indicator moves above 50, we could see a strong alt season ahead.”
The Bitcoin-Altcoin Cycle Indicator measures whether traders prefer altcoins over Bitcoin. A value above 50 indicates that Bitcoin is underperforming altcoins and that the market is entering altcoin season.
Bitcoin is trading at $68,708 at the time of writing, up nearly 2% in the last 24 hours.
Next, analysts look at the recent market performance of Layer 1 projects. They say utility coins Solana (SOL), Ethereum (ETH), and BNB on the Binance exchange may continue to lead, while Cardano (ADA) and Polkadot (DOT) may continue to weaken.
“Old Layer 1: Who’s in the lead? SOL has taken ETH’s place in major bull markets, but this time it is sharing the spotlight with ETH and BNB. ADA and DOT are lagging behind and a shadow of their former glory. We expect this trend to continue as stronger projects gain market capitalization.”
At the time of writing, Solana is trading at $154, up 1.5% in the last 24 hours. Meanwhile, Ethereum is trading at $2,649, up 1% on this day, and BNB is trading at $600, up 1.3% over the past 24 hours.
At the time of writing, ADA is trading at $0.34, up slightly over the past 24 hours, while DOT is trading at $4.24, up slightly on the day.
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