The fact that the Bitcoin (BTC) price broke the all-time record twice, almost 1 week apart, certainly created a serious FOMO in the market. Although BTC managed to recover from the point where it was declining about a week ago and return to its previous level, the altcoins are still counting. Nevertheless, the signals indicating the altcoin bull season that investors are waiting for have started to appear one by one. So what exactly will bring the altcoin bull?
Eyes on Ethereum for the first spark
In fact, the developments or developments that will bring the expected altcoin season may have already been announced. The main reason that started the movement for altcoins about 1 month ago was the Ethereum 2.0 announcement. The announcement shared by Vitalik Buterin saved ETH from the resistance of $ 400, which had been in place for a while.
With the rise of Ethereum and its rise to $ 460, other altcoins have also been seen to move slowly. Phase 0, the first step of the transition to Etheruem 2.0, will be implemented on December 1, 2020. While normally 524.288 ETH is required to be staked for ETH 2.0, 862,720 ETH has been collected as of press hour. This 60% surplus definitely reveals the interest in Ethereum 2.0.
ETH 2.0 staking announcement came from Coinbase
In addition, it was stated in the statement made by Coinbase that the staking service for ETH2 tokens will also be launched. The stock market, which marks the year 2021, can ensure the continuation of the altcoin rally for January 2020 after December.
Research firm Messari also emphasized that if ETH 2.0 is successful, it can increase Ethereum’s transaction capacity by 1,000 times without sacrificing decentralization. This, in turn, could set bullish records before September 2020 and mobilize DeFi applications that were blocked due to insufficient capacity of the ETH network.
If ETH 2.0 is successful, it will scale Ethereum’s throughput by over 1,000x without sacrificing decentralization
But it won’t happen overnight 👇👇
— Messari (@MessariCrypto) November 30, 2020
Bitcoin’s market dominance may open the door to altcoins
Bitcoin broke the record again today, turning eyes to altcoins. Many investors expect altcoins to run to the record after BTC broke the record and took a horizontal view, just like in 2017.
In fact, the decline in Bitcoin’s market dominance also supports this argument. The dominance rate, which exceeded 67 on November 19, hovers around 63.21 as of press hour. This shows how BTC suffered a severe loss of control despite breaking new records. It seems that the money from BTC has started to shift to altcoins.
FOMO, FOMO and FOMO
Of course, another development likely to kick off the altcoin season is known as FOMO. the third largest crypto currency XRP according to the market value, not only in Turkey is breaking popularity records in the world. Searches for XRP also break records according to Google Trends data.
This shows that many investors are already turning to altcoins and FOMO may have started. Although this situation harms some investors, it is known that FOMO is indispensable for the sector to rise in general.