As the crypto market braces for its next phase, renowned analyst Kevin Svenson has highlighted a potentially explosive growth phase for altcoins, signaling the arrival of the much-anticipated altcoin season.

Altcoins Poised for Takeoff

Svenson points to the TOTAL3 metric — representing the market capitalization of all cryptocurrencies except Bitcoin (BTC), Ethereum (ETH), and stablecoins — as a key indicator of upcoming growth. Currently at $982.2 billion, TOTAL3 could surge to $2 trillion by January 2025, marking a significant milestone.

The 40-Week Post-Halving Milestone

The analyst emphasizes the importance of the 40th week following Bitcoin’s halving, which occurred in April 2024. Historical patterns suggest that altcoins typically outperform during this phase. Svenson predicts this pivotal period will arrive by late January 2025, ushering in a surge for altcoin markets.

Bitcoin Dominance Set to Decline

Bitcoin’s dominance (BTC.D), which currently stands at 58.01%, is expected to fall to 42% within six months. Svenson notes that such declines have historically aligned with altcoin rallies, as investors shift focus to alternative cryptocurrencies.

What This Means for Investors

Svenson advises investors to monitor the TOTAL3 metric and BTC.D closely, as these indicators could provide early signals of an altcoin-driven market rally. A drop in Bitcoin dominance often paves the way for altcoins to take the spotlight, presenting opportunities for substantial gains.

As the crypto market transitions into this new phase, altcoins may emerge as the leading force, providing fertile ground for investors. However, navigating this potential requires careful monitoring of market dynamics.

This information is for informational purposes only and should not be construed as financial advice.