The cryptocurrency market is experiencing a significant shift, with a $3.4 billion surge in institutional inflows into Bitcoin ETFs recorded in early July, including $2.2 billion within just two days. This bullish trend has led CoinMarketCap’s Altcoin Season Index to hit 89/100, indicating a move away from Bitcoin toward high-beta altcoins.
Bitcoin’s next halving in April 2024, which reduces mining rewards from 6.25 BTC to 3.125 BTC, historically triggers bull markets. Following previous halvings, Bitcoin has risen 12%, while Ether and Solana also saw significant gains shortly thereafter. Institutions, alongside notable policy changes such as the GENIUS Act, are laying a foundation for blockchain adoption, further boosting altcoin momentum.
As regulatory clarity increases and tokenization of real-world assets becomes more mainstream, growth in altcoins is expected. Analysts are optimistic about the next 6 to 12 months for altcoins, particularly as the market becomes more accessible for everyday investors.
