K33 Report: BTC’s Dominance Wanes as Altcoin Season Looms

K33 report compares the current situation to late 2020, prior to the rise of altcoins challenging Bitcoin’s dominance.

Bitcoin (BTC) has spearheaded the cryptocurrency uptrend thus far this year, but analysts have identified preliminary indications that “altcoin season” is near, as smaller tokens are beginning to outperform.

BTC has reached $64,000 this week, edging closer to its all-time high set in 2021, in tandem with robust inflows into spot Bitcoin ETFs.

Nevertheless, this could soon alter, as per a recent market report published by K33 Research. “Altcoins will begin to perform better than they do now, according to past performance,” K33 wrote.

According to the report, Bitcoin’s market value has doubled since the market bottomed out in November 2022, surpassing the combined value of all cryptocurrencies except for BTC and Ethereum (ETH).

K33 Warns of Impending Altcoin Season

This situation, according to analysts, is comparable to that of late 2020, before the emergence of altcoins that began to rival the ascent of Bitcoin.

The “massive” memecoin rally that occurred this week may serve as an “early indicator” of the forthcoming altcoin season, they further stated.

The report does note, however, that the timing of the altcoin season is a “vulnerable area” because Bitcoin ETFs alter the landscape of cryptocurrency investments, and there is no assurance that capital flowing into Bitcoin will ultimately flow into smaller assets.

K33 stated, “Six altcoins have risen due to sufficient risk appetite, but a new wave of retail investors entering the altcoin arena to raise all boats has not yet materialized.”