“Alt season” as it’s known, is when investors take their profits from bitcoin and pour them into alternative crypto currencies, at the prospect of higher returns.
Since Bitcoin plunged by over 18% on 26 June, from $13,000 highs to below $11,000 across major exchanges, it extended these losses extended to 29% on 27 June. Crypto bulls are hurting. Yet, some altcoins quietly racked up gains, like XMax (29%), Madesafecoin (14.70%), Zcash (8.39), to name a few.
In the previous bull run, it rocketed many top altcoins (any crypto that isn’t bitcoin) by hundreds, or even thousands of per cent within a month.
Some of the biggest gainers back then were:
- Nem – up 709% between 7 December and 4 January and now 95% down from its peak
- Raiblocks (now called NANO) – up 5,810% (yes, really) between 7 December and 2 January and now 96% down from its peak.
- Ripple – up 1,508% between 7 December and 4 January and now 87% down from its peak
- NEO – up 450% between 7 December and 5 January and now 90% down from its peak.
- Tron – up 6,008% (yes, really) between 7 December and 5 January and now 85% down from its peak
- Stellar – up 526% between 7 December and 4 January and now 87% down from its peak.
And they all happened in less than five weeks.
The reason why many crypto investors are so excited about bitcoin’s latest run is not so much because of bitcoin’s price climb, but what it could mean for their alts.
And right now, the circumstances are eerily similar to the start of alt season last time around.
The stage is set for ALT season 2.0
In 2017 it took bitcoin 20 days to go from $10,000 to just under $20,000. In that time money rushed out of Altcoins and into bitcoin.
Altcoin holders were getting despondent, losing hope. Maybe there really was only room for bitcoin, maybe they should just cut their losses and dive in. Many did.
On 7 December 2017 the total market cap of crypto was $425 billion and bitcoin accounted for 65% of it. But one month later the total market cap hit its all-time high of $825 billion but bitcoin only accounted for 33% of it.
A massive capital injection had flowed into Altcoins. And because Altcoins, by nature had much lower market caps, all that money caused them to multiply in value many times over. Just look again at the examples above.
To be clear, those were not the only altcoins that shot up hundreds or even thousands of per cent. They are just the ones that stand out. And they weren’t obscure, either. For instance, Ripple had been in the top five for a few years now.
Where are we at right now?
Well, as I type, the total crypto market cap is at $337 billion, bitcoin is at $11,933 and bitcoin dominance is at 62.8%.
In short, bitcoin’s price, and perhaps most importantly, dominance has never been this high since bitcoin’s last mega run in December 2017.
That’s why many in the cryptosphere are asking, “When alt season?” Things are starting to feel a lot like late 2017. We’re all set for another ALT season, buckle up things are about to get interesting. “When alt season?” is a meme within the crypto community, so the typo is intentional.
An Altcoin, we that recommending right now is XCoin (XCN). This project, which launched without much hype, is backed by a team of crypto experts with over 8 years of hands-on blockchain technology experience. XCoin (XCN) is already listed on some exchanges and on track for listing major exchanges by the end of 2019.