Statements of the founder and director of the analytical company CryptoQuant Ki Yong Joo talk about the fact that the season of alternative cryptocurrencies to bitcoin may not arrive. Joo stated that many institutional investors have already invested money in exchange-traded funds based on leading by market capitalization digital assets bitcoin and ethereum. They are unlikely to sell shares of derivatives to buy altcoins with the proceeds, therefore the explosive growth of the price of alternative BTC cryptocurrencies may occur only due to a number of traders and investors. For the market capitalization of altcoins to update its historical maximum, a substantial influx of capital to cryptocurrency exchanges is needed. The fact that the capitalization level of altcoins fluctuates below the previous record value indicates a decrease in the volume of new capital, wrote Joo.
According to Ki, the season of altcoins may only arrive if private investors and traders are subjected to the fear of missing out on profit and will buy coins with a low level of capitalization in the hope of making a profit during a bullish rally. Accordingly, the fate of altcoins will depend on whether it will be possible to convince the public of the upcoming pump in the prices of cryptocurrencies. Market statistics of futures indicate that the altcoin season should begin at least for ethereum. On November 27, the total amount of open positions for buying ETH updated its historical maximum, reaching $22 billion. If the positive trend continues, the price of ethereum will inevitably rise.
