The performance of most secondary altcoins often follows the trend of ETH. So, who does ETH follow?

Since November, BTC has led the market. Although ETH has also started, its increase is relatively small, failing to generate enough FOMO sentiment, which has led most secondary altcoins to follow ETH's fluctuations. In fact, this situation has remained unchanged since the bull market from 2020 to 2021.

For example, from November 21 to December, ETH rose from about $3,050 to over $4,000. During this period, most secondary altcoins also rose simultaneously. And entering 2025, on January 1, ETH rose from around $3,300 to $3,700. Notably, you will find that most representative projects in each track have shown certain increases during this process.

From my observations, new L1 projects, including Ethereum's L2 (such as ARB, OP), as well as some currently less popular GameFi tracks, have all shown certain upward performance during this period. So this can also be considered a small altcoin season. However, the current market momentum is relatively insufficient, coupled with BTC's sentiment decline, which also affects ETH, leading to even weaker performance of those illiquid secondary altcoins.

Therefore, to welcome a secondary altcoin market, we still need to wait for BTC's rebound to drive market FOMO sentiment. ETH's momentum also needs to be strong enough to significantly rise. However, it is worth noting that since the U.S. election in November, ETH's trend has indeed been gradually recovering, and the inflow of ETF funds into ETH has also performed quite well, showing significant improvement compared to the situation before October 2024.

The upcoming market performance may need to wait until the new president and the new SEC chairman take office, as market sentiment may change. Meanwhile, ETH's spot ETF staking and $BTC's leadership will also bring some market volatility in the future. Additionally, the upgrade of ETH in Q1 2025 may also become a hotspot for speculation. Overall, as long as the inflow of funds into ETH continues to increase, the ETF fund inflow during those days around January 1 has already proven this point.

Therefore, if ETH can maintain strong momentum, we can still expect a healthy secondary altcoin season. I hope everyone can seize this opportunity!