Altcoin Season Has Officially Kicked Off, According to Crypto Analyst Nicholas Merten – Here’s Why

Popular crypto analyst Nicholas Merten says that the time for altcoins to start outpacing Bitcoin (BTC) has arrived.

In a new strategy session, Merten shares with his 508,000 DataDash subscribers an OTHERS chart, which depicts the total crypto market cap excluding the top ten coins to gauge altcoin market strength.

According to Merten, the chart suggests that the money that’s been added to Bitcoin’s market cap will likely start flowing into altcoins amid a “clear top formation” in Bitcoin dominance (BTC.D), which measures how much of the total crypto market cap belongs to BTC.

“The big thing above all though is that for the broader altcoin sector, we are now back up here towards the prior range of resistances since back in June, which was prior support in back in April 2024 during the first major dip. So that’s good to see, we’re pressing up here with the most resilience we’ve seen so far… But beyond that as well, we’re also seeing that we’re holding on the 200-day [moving average] as of now.

That is what I want to see here, this is that cue where we can really start to get the run up here. And that’s coming in pairing with Bitcoin dominance (BTC.D) seeing an actual sizeable shakeup here over the last couple of weeks. If we take that to the weekly chart, you’re starting to get a clear top formation forming, and that gives us a real opportunity where all this excess $1-$1.5 trillion in additional market cap that Bitcoin has added since back a few months ago, now can really trickle down into a lot of altcoins, not to mention the increasing flows into the ETFs, increased institutional sentiment, the buybacks from MicroStrategy…”

Source: DataDash/YouTube

Generated Image: DALLE3

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