Dennis Liu: Altcoin Season Has Not Yet Started

In the digital asset market, while some altcoins have surged, analyses suggest that the overall upward trend characteristic of an 'altcoin season' has not yet begun. The relative returns of altcoins compared to Bitcoin are lower than in previous bull markets, and Bitcoin's market dominance remains high. On the 6th, analyst Dennis Liu stated that the average excess return of altcoins compared to Bitcoin has only been about 10% since Bitcoin formed its low. The relative flow of the total altcoin market capitalization compared to Bitcoin's market capitalization does not show a clear upward trend; although some individual coins have surged, most major altcoins have either followed a similar trend to Bitcoin or have underperformed. Bitcoin is currently trading between $85,000 and $86,000, and it accounts for about 58% of the total digital asset market. The altcoin season index stands at 61, and to be classified as a full-fledged altcoin season, over 75% of the top 50 altcoins must outperform Bitcoin's returns. While trading volume is increasing, there are concerns that Bitcoin's dominance makes it difficult to definitively state that the altcoin market is in an upward trend. There are also analyses suggesting that the market structure has changed from the past, with a stronger tendency for funds to move around specific themes.

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