The cryptocurrency market is seeing a significant change as altcoins begin to outshine Bitcoin. According to CryptoQuant, 77.6% of altcoins are now outperforming Bitcoin, surpassing the threshold that typically signifies altcoin dominance. Such a shift in interest means that there are more investors for altcoins than there are for Bitcoin.
77.6% of altcoins are currently outperforming Bitcoin, breaching the threshold traditionally used to define altcoin dominance.Read full analysis in myWeekly Crypto Analysis https://t.co/pjOocR0W4U pic.twitter.com/MO7nCv1UaP
— IT Tech (@IT_Tech_PL) December 2, 2024
Bitcoin Steps Aside as Altcoin Season Takes Over
Since November 25, 2024, the dominance of bitcoin has declined to about 1.15% from 58.5% to 57.37%. This drop indicates that they are witnessing a trend shift where capital is flowing to higher risk, higher reward assets such as altcoins. The market cap of altcoins combined has risen to $ 95.29 billion which shows fresh inflows and resurgence of the same in the market.
The Altcoin Season Index also supports this view which depicts that we are in a ‘typical’ Altcoin Season. In these phases, Bitcoin steps aside and allows altcoins to gain more attention with traders looking for higher profits. This has in the past been accompanied by heightened activity in the altcoin market as more players enter the market.
The Rise of Altcoins Signals New Phase in Crypto Market
It could be due to certain altcoin related factors or shift in market stories. That is why investors are interested in seeking more various opportunities, including other coins with superior returns to Bitcoin. This shift might well be the beginning of a new chapter in the crypto market, one in which more and more users are turning to altcoins, at least in terms of anticipation, during the next several weeks.
In view of the changing market structures many traders and analysts are keen on them. According to CryptoQuant, altcoin dominance is now at a level that indicates that Bitcoin is under more potential pressure, and altcoins can lead the market into this new phase. This opens what could be an interesting chapter for altcoins depending more on trends and speculative investments.