While investors witnessed many firsts in Bitcoin (BTC), the same did not happen for Ethereum (ETH) and altcoins. Because while BTC achieved new ATHs, ETH and many altcoins are still far from their previous ATHs.
The market is divided into two regarding the altcoin rally, with one group claiming that the expected altcoin rally will not happen, while the other group argues that the altcoin season will come.
At this point, experienced analyst Michael van de Poppe said that the recovery of altcoins depends on Ethereum.
Altcoin Season Depends on Ethereum’s Performance!
Michael van de Poppe argued in his analysis that crypto market interest is gradually shifting away from Bitcoin and towards Ethereum.
“Markets are no longer completely focused on Bitcoin; they’re actually shifting towards Ethereum. The first signs of that are that we’re seeing better returns on Ethereum right now.”
At this point, Poppe stated that he agrees with the views of on-chain analyst Willy Woo, who argues that the cryptocurrency market has moved into an “Ethereum phase.”
Poppe stated that the interest had shifted from Bitcoin to Ethereum but that this change had not been noticed, and pointed to investors as the reason for this.
According to the analyst, most investors are not seeing the transition to ETH as the markets continue to maintain their pessimistic mindset.
The analyst also said that Ethereum needs to show a stronger and more sustainable performance for the long-awaited altcoin season to begin.
Poppe added that ETH needs to show stronger momentum and resilience for traders to close their positions at the breakeven point or with a profit.
“If we want the alt season that we all long for, that is, if we want to get our positions out of balance or maybe make money, then we need Ethereum to outperform, we need Ethereum to show strength.”
Aside from Poppe, pseudonymous crypto analyst Ted noted that ETH is currently following a similar trajectory to Bitcoin’s 2017-2021 cycle, predicting that a true parabolic rise could begin once ETH breaks the $4,000 barrier.
*This is not investment advice.
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