💡 Bitcoin sets the rhythm for the entire crypto market. Its growth signals that capital is flowing back into crypto assets. However, after reaching local peaks, investors shift their focus to Ethereum ($ETH) and altcoins.
Why is Ethereum rising after Bitcoin?
1. Capital reallocation
When Bitcoin shows significant growth, many investors take profits and look for new investment opportunities. Ethereum ($ETH) becomes a logical choice as the second most significant cryptocurrency with potential for further growth.
2. Ethereum — a bridge to the altseason
Ethereum's growth often acts as a catalyst for the rise of other altcoins. Why?
🛠️ Ethereum is the foundation for DeFi, NFT, and Layer-2 solutions.
🚀 Many tokens operating on the Ethereum network are starting to rise along with it.
3. Scarcity of $ETH
After the transition to Proof-of-Stake, Ethereum's issuance has decreased, and a significant portion of tokens is locked in staking. A lower supply in the market with stable or growing demand contributes to price increases.
How does this trigger the altseason?
📈 Phase 1: Bitcoin growth
Bitcoin attracts large capital, acting as 'digital gold'.
📈 Phase 2: Ethereum growth
Investors are reallocating profits from $BTC to $ETH, stimulating its growth and increased attention to the Ethereum ecosystem.
📈 Phase 3: Altcoin growth
Following Ethereum, other altcoins start to rise, especially those linked to its ecosystem, such as:
Optimism ($OP) — a Layer-2 solution to accelerate Ethereum.
Synthetix ($SNX) — a protocol for trading synthetic assets.
The Graph ($GRT) — a tool for indexing data on the blockchain.
What to do now?
1. Accumulate Ethereum ($ETH)
Ethereum serves as the foundation for the upcoming altseason. Its growth may signal the rest of the market.
2. Monitor the Ethereum ecosystem
Projects that operate on the Ethereum network always benefit in such moments.
💡 Promising tokens:
Uniswap ($UNI) — a decentralized exchange.
Lido DAO ($LDO) — a leader in Ethereum staking.
Balancer ($BAL) — a platform for automatic portfolio management.
3. Prepare a strategy for the altseason
When Ethereum starts to rise confidently, altcoins will follow. Make a plan so you don't miss the moment. Invest only in projects that you understand well.
💬 How are you preparing for the altseason? Have you started accumulating Ethereum? Share your thoughts in the comments!