The possibility of an Altcoin Season without a market crash is highly unlikely. Historically, Altcoin Seasons have been triggered by market corrections or shakeouts, which create a liquidity shift.¹ During a crash, Bitcoin often stabilizes first, attracting fresh capital. Once confidence returns, that capital flows into altcoins, sparking their rallies.
There are a few reasons why market crashes often pave the way for Altcoin Seasons:
- _Whales cash out at the peak_: Big players sell their holdings at peak prices, triggering a sharp decline.
- _Panic selling by retail traders_: As prices drop, retail traders panic and sell, pushing prices even lower.
- _Fake rebounds_: After a crash, there might be a mini rebound, but it's often short-lived and designed to trap inexperienced traders.
While it's rare, it's not impossible to have an Altcoin Season without a market crash. For this to happen, Bitcoin's price would need to stabilize at a higher range, encouraging investors to diversify into altcoins.² Additionally, positive news and strong market sentiment could drive altcoin interest independently.
To prepare for an Altcoin Season, keep an eye on indicators like Bitcoin dominance drops, altcoin volume surges, and stable market conditions.
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