Altcoins Gain Momentum Amidst Bitcoin and Ethereum Focus
A recent analysis by crypto analytics firm Santiment reveals that the cryptocurrency market is experiencing notable shifts in focus. While traders have traditionally concentrated on Bitcoin (BTC) and Ethereum (ETH), Santiment highlights the emerging trend of several altcoins gaining momentum.
Santiment identifies nine altcoins, including Polygon (MATIC), Decentraland (MANA), Fantom (FTM), and Pepe (PEPE), experiencing surges in both new wallet addresses and prices. This surge in interest suggests potential growth opportunities for these altcoins in the near future.
Decoupling from Equities: A Bullish Signal
Traditionally, the crypto market has been influenced by movements in the equities markets. However, Santiment observes a significant departure from this trend. Both Bitcoin and altcoins are moving away from their reliance on equities, indicating a potential shift towards bullish market conditions.
Santiment notes, “Bitcoin scratched its way to a new 17-month high today. Moreover, crypto market caps are growing while the S&P500 declines. This suggests that BTC’s and altcoins’ reliance on equities is diminishing, a typical sign of a bullish market.”
ETF Listings Boost Market Sentiment
The imminent release of spot market Bitcoin exchange-traded funds (ETFs) is contributing to the positive momentum in the crypto markets. Santiment emphasizes that the market sentiment is optimistic due to the expected rise in exposure resulting from probable ETF listings. The recent relisting of Blackrock’s iShares on the Depository Trust and Clearing Corporation (DTCC) further amplified this boost.
Ethereum’s Strong Performance
Focusing on Ethereum, Santiment highlights the resilience of the leading altcoin during the recent crypto surge. Whale transactions involving ETH have reached a six-month high, indicating significant activity among large investors. Additionally, Ethereum’s supply on crypto exchanges has reached its lowest point since 2015, underscoring the growing demand for the digital asset.
In summary, Santiment’s analysis suggests a shifting focus within the cryptocurrency market, with several altcoins gaining traction and decoupling from equities. The upcoming ETF listings and Ethereum’s robust performance further contribute to the positive sentiment, indicating potential opportunities for traders and investors.
