In the last three days, on average, the tokens of the top 100 blockchain projects have gained 4.9%.
This is revealed by a Santiment chart, which shows that very few tokens or cryptocurrencies among the top 100 by market capitalization have gained value in the last three days.
The top 100 #blockchain projects are up an impressive average of +4.9% the past 3 days. Led by $VET, $DOGE, $LEND, and $ERD, $BTC's rebound from nearly dipping below $9k has led to yet another #altcoin upswing. https://t.co/uD8ewLxmTM pic.twitter.com/wTrt6fd02y
— Santiment (@santimentfeed) July 8, 2020
Four in particular recorded the most significant growth, VeChain (VET), Dogecoin (DOGE), Aave (LEND) and Elrond (ERD), while the vast majority were positive, with only 11 tokens out of 100 at a net loss.
The average gain was 4.9%, while the median gain was slightly lower. Of all of them, BTC was one of the cryptocurrencies that gained the least, well below average, stopping at about half the median.
Santiment speaks explicitly of a recovery of altcoins, as demonstrated by Bitcoin’s dominance, which dropped in a few days from almost 65% to less than 63%.
In fact, in addition to the four tokens mentioned above, ETH, XRP, and especially ADA (Cardano) are growing more than BTC, from less than $0.1 to more than $0.13 in just two days, with an increase of more than 30% that allowed it to climb to sixth place for market capitalization, surpassing Bitcoin SV (BSV).
Chainlink (LINK) also grew a lot in the last two days, from less than $4.9 to over $6.1, a gain of 25%, while for example Bitcoin Cash (BCH) gained almost 10%, and BSV 20%.
It’s definitely still a little early to talk about the start of the altseason, as it’s only two or three days of rises, with Bitcoin’s dominance not yet falling much. Moreover, there is no guarantee that BTC’s rise will continue to be so small over the next few days.
Yet something seems to have happened, especially since Compound’s COMP token debuted on the market, which seems to have marked a small turning point in the short term, bringing attention back to the altcoins.
Looking at Bitcoin’s dominance, it had been stagnating at around 64% for several months now. In fact, in September last year it had reached 70%, and then slowly dropped to 65%, with a minimum annual peak of 62.5% at the end of February, before the collapse of the financial markets in March that made the altcoins lose a lot of ground, bringing it back to 64%.
At the turn of the Bitcoin halving, attention was focused on BTC, bringing dominance back over 67%, but within a few days it was back to 64% again.
Only since July 6th has it fallen below this threshold, so it’s definitely too early to say that the altcoin season has started. In addition, by February it had already fallen temporarily below 64%, and then quickly climbed again during the crisis in March.
However, the prerequisites for an altseason seem to be there, and only time will reveal whether this hypothesis will be confirmed or denied.