Experts see this as a warning that Bitcoin's supremacy is reaching its limit. "Altcoins are likely the focus for now." This suggests that investors are shifting their wealth away from Bitcoin and into other cryptocurrencies.
The "Next Wave" of Altcoins: What's Driving Them?
The US Federal Reserve "remains open to cutting rates," according to Thielen, which bodes well for high-beta cryptocurrencies, who will presumably continue to advance.
His remarks follow the Federal Reserve's move to decrease rates by 50 basis points on September 18th, which sent a positive signal for riskier markets. Bonds, term deposits, and other conventional assets have lost some of their lustre as interest rates continue to fall.
What the Fed's dovish dot plot proved was true: by the end of 2025, the median policymaker anticipates rates to have been slashed another 150 basis points.
Trading volumes in South Korean retail cryptocurrencies are currently approaching $2 billion per day, lending credence to this trend. Reestablishing itself as the most heavily traded South Korean stock, Shiba Inu is a sign of "rising speculation and setting the stage for a potential Q4 rally."
There is reason to be optimistic about the stimulus package that the People's Bank of China (PBOC) has just released. If that happens at the same time the Federal Reserve starts decreasing rates, it may cause a large influx of funds from China into the bitcoin market.
"Ignite a parabolic rally in cryptocurrency prices, fueled by increasing global liquidity," Thielen said of China's $278 billion stimulus plan.
Thielen predicts a recurrence of the 2013 situation, in which Chinese exporters poured billions into Bitcoin via over-invoicing, leading to a huge surge.
There Is Still No Altseason, As per the metrics
The expert concluded by stating that "the likelihood of a Q4 rally is exceptionally high" due to the positive market sentiment and the abundance of favorable triggers, especially for altcoins. This has been mentioned by analysts as a reason for the optimism around the possibility of the "biggest" altseason since 2017.
Nevertheless, there's still no cause for celebration just yet, since "it is not altcoin season" according to Blockchain Center's altcoin season index. In the last three months, Bitcoin's performance has been outpaced by 75% of the top 50 cryptocurrencies, marking the beginning of altcoin season according to this indicator.
The good news is that this score is going up. Nearing a resurgence to levels seen just after the Fed rate cutâwhen 46% of the top 50 coins beat Bitcoinâthe current percentage is 41%.
As a result, the market is being cautious until there is a more clear change in the performance of altcoins, even if expectations are high and triggers are coming together.
As this pivotal point draws near, we are still in an accumulation zone. Investors may take advantage of this chance to solidify their holdings in the altcoins they believe have the greatest potential for the next altseason.
