End of Altcoin Season? Glassnode Co-Founders Warn Alts in Danger of Lagging Behind After Last Week’s Correction

Glassnode, a crypto analytics firm, is cautioning that altcoins could lose their bullish momentum following last week’s market correction. Jan Happel and Yann Allemann, also known as Negentropic on X, are expressing concerns to their 63,400 followers that the “altcoin season” that began in late November might be coming to an end due to significant pullbacks in the past seven days.

The Glassnode co-founders suggest that traders and investors may adopt a risk-off approach towards altcoins unless Bitcoin manages to recover a key psychological price point.

“Is This the End of Altcoin Season?

Bitcoin dominance is on the rise, indicating a stronger BTC environment as altcoins lose crucial support. If BTC stabilizes above $100,000, we may see an uptick in altcoins currently in accumulation zones. Until then, Bitcoin is expected to lead, with altcoins lagging behind.”

The Bitcoin Dominance (BTC.D) chart reflects the proportion of the total crypto market cap held by BTC. A rising BTC.D suggests that altcoins are losing value faster compared to Bitcoin, currently standing at 59%.

As for Bitcoin itself, Glassnode executives observe that long-term holders are selling off their holdings while other investor groups are stepping in. Whales are accumulating, miners are neutral, and the selling pressure has reshuffled the board, with new investors absorbing the sales.