Is it over #Altseason ❓
The Altseason index is a technical indicator used to track the performance of #altcoins relative to #Bitcoin
It helps evaluate how close we are to a full-fledged altseason.
Since November 5, 2024, following the positive news of the electoral victory of #donaldtrump , the index began to rise from 30 and peaked at 88 on December 4. The recent drop in the altcoin market cooled it down a bit, causing a slight pullback.
Does this mean a trend change and the end of altseason❓
No
The answer lies in understanding market cycles
In January 2024, the Altseason index was at its peak, but the market was not in a bullish cycle. Instead, it was a period of "local altseason," which occurs during market accumulation. These mini local seasons usually last between 1 and 3 months and act as bait for weak hands. During this time, big players take coins from retail holders and trap market participants at higher prices, feeding the euphoria.
When a real bullish market begins, the Altseason index remains elevated for a much longer period, sometimes several months. This is exactly what happened during the bullish market of 2021.
In a true bullish market, the altseason usually lasts between 3 and 6 months, after which comes the distribution phase. This phase is a classic trap where the market seems unstoppable, corrections are quickly bought, and big players use the hype to offload their bags at high prices.
🧐 Notice how quickly the market recovered from the recent drop. That is a classic sign of a healthy bullish cycle.
📌Don't be swayed by exaggerated news, it's the tool to manipulate the herd
📌Don't fear the drops
Effective strategy
✅Buy and accumulate when the Altseason index is below 30
✅Sell in parts when the index exceeds 80
