Bitcoin, which performed considerably higher than its competitors in the first half of the year, started the second half calmly.
During the rise in the first half, we saw that BTC dominance also increased, so altcoins could not seriously accompany this rally.
As BTC dominance fell below 50% again after 33 days, expectations for the altcoin season for the third quarter increased.
While the decision in the Ripple case removed the pressure on altcoins also raised these expectations, Genesis Trading General Manager of Commerce Gordon Grant said that the signals of “altcoin season” are coming.
Speaking to The Block, Grant said:
“There are altcoin season signals for Q3.
If you look at risk proxies when altcoins are performing well, one of them includes the Nasdaq, which is heading towards an all-time high. Altcoins do well as the Nasdaq rises.
Bitcoin had a good second quarter, so people want to turn around the credit and risk curve. They made good profits in Bitcoin and will now move some of it to Ethereum, then to riskier altcoins. That's a pattern we've seen.”
The Block reported that this analysis was also confirmed in a special report by CryptoQuant. The following statements were included in that report of CryptoQuant:
“The drop in Bitcoin’s dominance indicates that the alt season may have started, but in terms of derivatives markets, we see that traders still have a negative sentiment despite the XRP decision.”