The cryptocurrency market, or digital assets other than Bitcoin (BTC), is showing signs of cooling, delaying the chances of us re-entering an altseason.
This period occurs when 75% of the top 50 cryptocurrencies have outperformed Bitcoin over the past 90 days. The reference thermometer to determine whether the market enters altseason or not is the Altcoin Season Index.
At the time of this writing, the indicator stands at 67 poits. This means that 67% of the most important cryptocurrencies are outperforming BTC.
nIt should be noted that the measurement does not include stablecoins or tokenized versions of BTC or ether (ETH), Ethereum's native currency, such as WBTC or stETH.
67% of the most important cryptocurrencies outperform Bitcoin. Source: Blockchain Center.
Over the past 90 days, 33 cryptocurrencies have outperformed BTC, with zcash (ZEC) leading the way. The altseason index reached 84 points in September, but BTC regained ground and the market ultimately avoided entering a phase of “unhinged euphoria.”
It is so named because speculative demand soars and traders have the opportunity to make large profits, even though they risk considerable losses.
The risk is that prices rise without solid fundamentals to support that momentum. However, the start of “uptober”, historically a bullish and highly liquid month, could drive a new sustained altseason.
