Are the Crypto Markets on the Verge of an Altseason? Here Are the Metrics To Watch, According to Blockchain Researcher

As the crypto markets move sideways, a prominent blockchain researcher is analyzing whether another “altseason” could be on the horizon.

Head of research blockchain intelligence firm IntoTheBlock Lucas Outumuro notes in a recent newsletter that Ethereum’s (ETH) price against Bitcoin (BTC) has just hit a 42-month high.

He points out that the last two times Ethereum set new yearly highs were followed by “periods of high growth” for ETH and smaller-cap altcoins.

Explains the analyst,

“If ETH/BTC holds above 0.08 it could point to higher risk-appetite trickling down crypto markets.”

Source: IntoTheBlock/Medium

The blockchain researcher also notes that over the past seven years, non-Bitcoin crypto assets have historically averaged 38% returns in December, compared to 21% for BTC.

“Many in the market may be expecting bullish price action due to this historical precedent, though having grown by 30% already in Q4 this may already be priced in.”

The researcher submits that “altseason” itself may actually be an outdated term given the diffuse sectors of different altcoin projects.

“Different sectors within crypto have established their own trends throughout the past bull market, leading to lower correlations in longer time frames.

This became apparent with DeFi tokens in summer 2020, then with NFTs in the summer of 2021 and more recently with metaverse-related tokens.

Ultimately, this may mean if an ‘alt season’ comes, it could benefit certain sectors more than others.”

Check Price Action

Don’t Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox

Follow us on Twitter, Facebook and Telegram

Surf The Daily Hodl Mix

Check Latest News Headlines


Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Featured Image: Shutterstock/Voger Design/Sensvector

Leave a Reply

Your email address will not be published. Required fields are marked *