Altcoin season delayed… what's needed to kick off a bull market?

With altcoin season delayed, an analysis has emerged on what has caused the delay and what factors may trigger it in the coming months.
On the 15th (local time), CryptoPotato, a cryptocurrency exchange and derivatives trading platform, announced
Bybit has released a joint report with market research firm Block Scholes, highlighting the factors that led to the delayed altcoin season and what could trigger it in the coming months.
According to the report, factors that could trigger an upcoming altcoin season include increased institutional participation in altcoins,
Reasons for Ethereum outperforming Bitcoin include continued retail investor interest in meme coins and profit-taking by Bitcoin holders.
During these market periods, altcoins tend to outperform major crypto assets, especially Bitcoin.
This will lead to a surge in the value of these cryptocurrencies, as a result of the inflow of large, high-risk projects. Bybit said, "The market has been in a state of flux since the last three bull runs, particularly in 2017 and 2021.
"We saw a trend like this," he said. At the time, cryptocurrency prices other than Bitcoin hit new all-time highs (ATHs).
However, altcoin seasons often mark the end of a bull market.
"We need to be aware of what will happen next, as profit taking will occur on large tokens and a market correction will occur," he explained. Investors are expecting an altcoin season in this bull market.
However, this cycle seems to be different, Cryptopotato reported. Bitcoin is still dominating the market, hitting new all-time highs. This is because the altcoin market is
This is the opposite of the usual pattern of Bitcoin's dominance declining during a halving. In the past, Bitcoin's dominance declined about 230 days after the halving, but this halving saw the expected sharp decline.
No drop occurred, suggesting a possible structural change in market behavior. Bybit believes there are several factors that determine the state of the cryptocurrency market, one of which is the
Another factor is the slow performance of Ethereum compared to Bitcoin and major altcoins like Solana.
Bybit further outlined several factors that could affect the timing and nature of the next altcoin season.
According to the analysis, first of all, there needs to be increased profit taking by Bitcoin holders, which would trigger a market correction and, as a result, a shift of funds into altcoins.
Next, Ethereum needs to experience a significant recovery and reclaim its position as the market leader.
Also, investors are gradually turning to meme coins and non-mainstream altcoins.
Joining the SEC could lead to an altcoin season, and finally, there should be a surge in institutional interest in altcoins. This is because US regulators have
This is likely to happen soon as the company is considering a Lutcoin ETF application, the report said.