Bitcoin holds the altseason’s key

When nearly all the altcoins go up we say that we are in “altseason”. This normally happens when investors want to get out of Bitcoin and buy altcoins. There are some thresholds that have to be met. The most important one is that we need a stable BTC. If bitcoin gets boring, then it’s easier to see an altseason.

There are some conditions apart from Bitcoin stability: accumulation has to end. We need to see some signs of distribution in BTC. Right now:

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It seems like a reaccumulation. So let’s take a look into the on-chain data:

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We see a declining interest in creating new accounts; so there may be a transition period before a new run-up.

The whales keep on using stablecoins to buy more cryptocurrencies. They needed a little bit of rest,, so they may go on with the process soon. For now, the condition is clear: Bitcoin should bring more volume if it breaks above the previous rejection point.

Ethereum already broke up from the previous rejection point.

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But it got rejected at the 61,8 fibonacci retracement level. So now it should maintain the 3245 USD mark to remain bullish.

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Onchain we see a big rising volume in ethereum. So it may be signaling a potential reversal to the upside for ETH.

We will keep on talking about onchain and technical analysis on a weekly basis. Subscribe to our Newsletter to be updated when we publish new articles.

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