Bitcoin rises 7%, altseason about to start, Bitcoin SV and Filecoin experience weeklong rally

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Last Updated on 2 January 2024 by CryptoTips.eu

On the second day of the new year, Bitcoin rose above $45k, its first major move in a week, supported by the rumor that an ETF approval is imminent. However, some of the largest and well-known altcoins have already been rising for a week, so it looks like altcoin season (also known as altseason) is about to start.

As Bitcoin and crypto were both born from mathematics, it thus makes sense that there is a mathematical formula to calculate whether altcoin season is indeed starting.

That formula goes as follows: if three-quarters of the altcoins from the top 50 of the largest digital coins perform better than Bitcoin during the last 3 months, then we call it altcoin season. Stablecoins such as Tether are of course excluded.

We currently have a value of 67. If that number rises above 75, then it’s an alt season. The last time this happened was in the summer of 2022.

Advertentie.

Diversification

When Bitcoin is high on the wish list of institutional investors, many Wall Street analysts are usually also looking for the next digital coin that can make a leap and so you sometimes see classic altcoins making incredible leaps as Bitcoin hype builds.

Last week it seems to be the turn of Bitcoin SV (Bitcoin satoshi’s vision) and Filecoin. Both have been around for a long time and so it looks like institutional investors are diversifying.

Both coins are at a fraction of their respective all-time highs, both achieved during the 2020 and 2021 bull runs.

Jeroen Kok

Jeroen is one of the lead copywriters on Cryptotips.eu and discusses all recent events in the crypto market. This includes news updates, but also price analyzes and more. He developed his passion for cryptocurrency during the bull run in 2017. He has learned a lot since then. The combination of cryptocurrency and creative writing is perfect for Jeroen and an excellent way to share his knowledge with a wide audience. Find me on LinkedIn / [email protected]
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