tl;dr
Ki Young Ju, founder and CEO of CryptoQuant, challenges the traditional concept of Altcoin Season, stating that changing crypto regulations and institutional adoption have rendered the old capital flow cycle for altcoin surges obsolete. He proposes a shift towards a "selective altseason," where only...
Ki Young Ju, founder and CEO of CryptoQuant, challenges the traditional concept of Altcoin Season, stating that changing crypto regulations and institutional adoption have rendered the old capital flow cycle for altcoin surges obsolete. He proposes a shift towards a "selective altseason," where only a few altcoins will benefit from new market trends. This is supported by recent market trends showing that investors prioritize established altcoins with strong fundamentals over smaller, speculative tokens.
Ju highlights three key factors that could drive altcoin performance in 2025: potential approval of exchange-traded funds (ETFs) for altcoins, sustainable attention drivers, and revenue-generating projects. This signals a departure from the previous cycles where nearly all altcoins experienced substantial price increases.
According to Ju, changing crypto regulations and institutional adoption have altered how capital moves in the crypto market. These changes prevent the typical explosion of smaller altcoins that historically defined Altcoin Season. Instead, new capital primarily flows into stablecoins or widely accepted altcoins rather than speculative smaller tokens.
Meanwhile, recent market trends support the assessment of a selective altcoin season, with established altcoins outperforming smaller tokens. Liquidity struggles reflect institutional influence shaping the crypto sector. This suggests a departure from indiscriminate altcoin surges driven by retail traders.