Journalist
Posted:
As the price of Bitcoin [BTC] soared to new heights in recent days, Ethereum [ETH] followed suit. On the 19th of February, ETH reached its highest price in 22 months, hitting $2,980.
This is the first time since April 2022 that ETH has gone near $3,000.
This significant price increase has led many to anticipate an ETH bull market and even consider the onset of other altcoins.
However, some experts urge caution, suggesting that alt season may not happen as swiftly as anticipated.
Remarking on the same, Henrik Andersson, Apollo Capital’s Chief Investment Officer, said,
“I think several powerful catalysts are coming up that might spark an altcoin rally.”
Ethereum buckles up
This rise in the price of ETH primarily revolves around the Dencun upgrade and mainnet launches for scaling solution Blast and restaking platform EigenLayer.
Andersson added,
“Ethereum has been underperforming BTC over the past year, it feels like it is due for a catch-up in particular due to the supply sinks and it being deflationary since the move to PoS.”
Additionally, economist and trader Mikybull Crypto highlighted that March typically brings bullish trends for ETH, with the potential for reaching $3,000. He further emphasized,
“This cycle of altseason is going to be huge!”
Contradicting POVs
However, Markus Thielen, the head of 10x Research, countered the notion, saying,
“While speculation swirls about the possibility of an altcoin season, the current landscape lacks substantial evidence, with Bitcoin’s enduring dominance standing at 51%.”
He clarified that for a robust altcoin season to begin, there needs to be a sustained decrease in Bitcoin’s dominance to below 45%.
Is this all delusional?
The recent surge in prices of the top coin has instilled speculation in the crypto space.
Hence, to provide a clear picture, on the 20th of February, Santiment reported that most crypto projects have been profitable since October, but some lagging altcoins caution against overbought signals.