A new report (source at the end of the post) discusses the current rise in altcoins. It explains that this is not just a repetition of past cycles, but this rally is supported by different and clear market data.
Altcoins have started outperforming #Bitcoin on multiple occasions, with a noticeable increase in liquidity and market depth for certain coins.
The report highlights that this time the rally is not based solely on speculation, but on genuine trading activity. Liquidity in altcoins has deepened, and trading volumes have increased, reducing the idea that this movement is just a temporary surge.
What has changed?
- Relative decline with Bitcoin dominance
- Altcoin activity and liquidity increase
- Strong performance by coins such as ETH and XRP
- Entry of derivatives and futures contracts supporting demand
The report states that these indicators point to a structural shift in the market, not just a short-term wave. If liquidity and trading activity continue, we might see a longer and more mature altcoin season than previous cycles.
Meaning:
The report shows that the current altcoin rally is based on stronger data than before. This is not a guarantee of continued growth, but these signals are different this time, and the market is moving based on real liquidity, not just hype.
Source: Kaiko Research
https://research.kaiko.com/insights/altcoin-rally-this-time-the-datas-different