Cryptocurrency altcoin season will probably continue to come to the delight of speculative cryptocurrency investors, but the intensity of gains will likely diminish as the market matures, according to cryptocurrency analysts.
Anonymous cryptocurrency trader Willy Woo wrote in an October 26 I mentioned the year it happened. Project capital raising through cryptocurrency sales has begun.
Altcoin season will continue as investors seek higher risk returns
Willy Woo said he’s not saying there won’t be an alt season, noting that mid-cap and low-cap cryptocurrencies will “definitely” be “pumped” after the Bitcoin (BTC) price surge. “Risk curve.”
Traders typically note signs that Bitcoin dominance has peaked for hints that they will begin to shift capital into altcoins.
Bitcoin dominance at the time of publication is 59.31%. Source: TradingView
Bitcoin’s dominance is at 59.31%, according to TradingView data, just short of some analysts’ recent predictions of 60%. They believe this is the point where capital will start flowing into altcoins.
Willy Woo claimed that an alternative cycle is currently shaping up to be “all about memecoins,” which he said is “a piss-take for the cryptocurrency space.”
This statement runs counter to what Mati Greenspan, founder of Quantum Economics, recently told Cointelegraph: “The coming bull market is all about Bitcoin and Layer 2.”
Willy Woo warns against holding altcoins.
Willy Woo urged his 1.1 million followers to avoid long altcoin positions, saying “I’m not pretending to try a world-changing disruptive technology, this is an honest bubble casino.”
“If you’re not knowledgeable enough to be an effective insider, don’t have one. Because Alt is an insider’s game, just like the casino, where the house will ultimately win.”
He also cautioned that alternative market caps reflect “winners” and not failed tokens.
“Also remember that alternative market cap is like a cricket bat with 10 new handles and 10 new blades. It is the sum of all new winners. Losers are not included in market cap,” said Willy Woo.
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Many cryptocurrency analysts have been speculating when the market could finally declare that alt season has arrived.
Traders often believe that Bitcoin needs to recover from the all-time high it reached in March (currently $73,679), but some analysts argue that just kicking off the alt season this time will not be enough.
Cryptocurrency investment firm Hashkey Capital analysts believe that “altcoin season is more likely if Bitcoin prices exceed $80,000.”
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