Cryptocurrency analytics firm Alphractal has weighed in on current market trends, suggesting that altcoins could soon stabilize and outperform Bitcoin in the short term. This analysis comes as Bitcoin has seen a sharp recovery over the past 24 hours, rising from $89,000 to $97,000.
Alphractal noted that during Bitcoin downtrends, altcoins typically experience steeper declines. However, as Bitcoin recovers, its recovery tends to outpace the recovery of altcoins in the initial stages. The firm argued that current market data from the Altcoin Seasonality Index suggests that the cryptocurrency market has entered a phase where altcoins could begin to recover.
“Altcoins may soon stabilize and outperform Bitcoin,” Alphractal said, noting that this trend could provide favorable conditions for traders.
While the Altcoin Season Index points to short-term recovery opportunities, Alphractal cautioned that this does not necessarily indicate the arrival of a definitive or long-term “Altcoin Season.”
“This is more of a short-term recovery, which could present great opportunities for scalping and swing trading,” he explained.
*This is not investment advice.
