Why will there be no alt season like in 2021?
Benjamin Cohen, the founder of the analytical service Into The Cryptoverse, said that the market should not wait for the 2020-2021 scenario to be repeated. According to him, the key indicator of market width - Advance/Decline Index for the top 100 cryptocurrencies - has been in a steady downward trend since the end of 2021.
Then the growth of bitcoin was supported by altcoins and the total inflow of liquidity. Now BTC is growing mainly due to Defence demand and institutional purchases, while altcoins are losing investor interest and liquidity. The situation is aggravated by the constant launch of new coins, which only spray volumes.
"The bull market of bitcoin has been masking the weakness of altcoins for years. Now that growth has stalled, this weakness has become too noticeable to be ignored," Cohen summarised.
