Altcoin Season: Why Is The $80k Price For Bitcoin Crucial?

No, it is not necessary to wait for Bitcoin to stumble to see altcoins shine. Quite the opposite, when the king of cryptos rises, he takes his soldiers with him. If Bitcoin breaks the $80,000 barrier, the famous “altcoin season” could finally be triggered, estimate experts from Hashkey Capital, with BTC dominance between 62% and 70%. Investors are scrutinizing the signals that could herald a revival for these alternative cryptos.

Bitcoin: A climb to the top

Analysts at Hashkey Capital are clear: for altseason to materialize, the price of Bitcoin must exceed $80,000. With a current price of $67,000, that would represent an increase of about 18%. But reaching this threshold alone will not be enough.

In addition to breaking its historical record of $73,679, BTC will also need to consolidate its market dominance around 62% to 70%. Currently at 58%, or more precisely 58.94%, this market share has already reached a three and a half year high.

The conditions seem ripe for a potential crypto “rally”. Cautious optimism is spreading, and some more speculative coins, like Goatseus Maximus, have even recorded spectacular gains.

For proponents of the “domino theory”, Bitcoin’s momentum could drag altcoins along in its wake.

• 18% increase needed for BTC;
• Target dominance: between 62% and 70%;
• Historical record of Bitcoin: $73,679.

Alternative cryptos or altcoins: Waiting for the sparkle

While altcoins still seem to be hibernating, crypto enthusiasts believe that a new “altseason” is overdue. Indeed, according to Michael van de Poppe, the current altcoin market is experiencing its longest drought since 2014-2016. But some signs suggest a less gloomy future: in the past seven days, some less traditional cryptos have recorded notable gains.

This is the longest #Altcoin bear market we've experienced.

Longer than the 2014-2016 period and you're still here.

That's great, as the bull market is around the corner and this will likely exceed your expectations.

— Michaël van de Poppe (@CryptoMichNL) October 20, 2024

However, as noted by Glassnode analyst James Check, enthusiasm around altcoins may be different this time.

“The joke has been told, everyone knows the fall, and it’s no longer really funny,” he said.

Investors must keep in mind that not all cryptocurrencies will necessarily benefit from a snowball effect.

Finally, let’s not forget that even when the “queen of cryptos” shines brightly, her servants do not always share the light. For example, during week 24 of 2024, Bitcoin experienced a rise, but altcoins remained in the shadows. Markets are capricious, and crypto rallies can be as fleeting as shooting stars.