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Home Ethereum

Ethereum Gains Momentum as Analysts Confirm Altcoin Season Is Officially Here

November 22, 2024
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Posted: November 23, 2024

  • Ethereum’s price surge and transaction velocity signal the start of an altcoin season, as per analysts.
  • Chainlink shows strong growth with increasing active addresses and open interest, indicating bullish sentiment.

Ethereum [ETH] has recently demonstrated its strength as the second-largest cryptocurrency by market capitalization, seeing notable gains. Over the past 24 hours, ETH surged by nearly 10%, reaching a trading price of $3,374 at the time of writing. 

While it remains approximately 30% below its all-time high of $4,878 recorded in 2021, the recent rally signals potential bullish activity in the broader altcoin market.

Amid this performance, CryptoQuant analyst Mac.D highlighted the beginning of an altcoin season in a post on the QuickTake platform. The analyst pointed to Ethereum’s circulating velocity and transaction growth as indicators of this rally. 

Altcoin season begins

Velocity, which measures how quickly coins circulate in the market by dividing the annual coin movement by the total supply, has historically risen during altcoin market rallies. 

Ethereum (ETH) velocity

Source: CryptoQuant

Despite currently low velocity levels of approximately seven times the total supply, Ethereum’s role as a primary collateral asset for institutional investors is poised to play a pivotal role.

The analyst emphasized that a rise in ETH’s price could stimulate DeFi liquidity and confirm the onset of an altcoin season.

Ethereum’s recent gains come in the context of a broader narrative. While Bitcoin has outpaced Ethereum in recent rallies, Ethereum’s role as a backbone for DeFi and a top choice for institutional collateral positions it for substantial influence. 

However, challenges such as competition from faster and cheaper blockchain networks like Solana, Tron, and Aptos highlight the hurdles Ethereum must overcome. Yet, as Ethereum’s transaction growth and velocity improve, it is expected to drive liquidity creation, benefiting the altcoin ecosystem.

See also  Ethereum [ETH] ETF gets $500 mln boost in 2 days - What's next?

LINK as a case study

A closer look at one of the prominent altcoins, Chainlink, supports the altcoin season thesis. LINK has recorded a 16.6% increase in the past week, bringing its trading price to $15.26. 

This growth aligns with Ethereum’s rising activity and suggests broader altcoin momentum. Key metrics bolster this case: LINK’s active addresses—a measure of retail interest—have surged, increasing from below 2,000 in October to over 5,000 by 21st November, according to Glassnode.

Altcoin case study (LINK) active addresses

Source: Glassnode


Read Ethereum’s [ETH] Price Prediction 2024–2025


Further strengthening the argument for an altcoin season, Chainlink’s derivatives data also shows bullish signs. Data from Coinglass indicates a 7.76% increase in LINK’s open interest, now valued at $294.88 million.

Source: Coinglass

Source: Coinglass

Additionally, LINK’s open interest volume has risen by 0.86%, reaching $726.97 million. These metrics suggest heightened investor activity and confidence in LINK’s near-term performance.

Next: Mapping Bitcoin’s path to $139k: Past election cycles suggest…

READ ALSO

Ethereum Looks Ready To Break Out Of 4-Year Consolidation, Analyst Says Price Will ‘Go Insane’

Binance loses 300K ETH – Here’s what it means for bulls eyeing $2.7K

Avatar

contributor

Posted: November 23, 2024

  • Ethereum’s price surge and transaction velocity signal the start of an altcoin season, as per analysts.
  • Chainlink shows strong growth with increasing active addresses and open interest, indicating bullish sentiment.

Ethereum [ETH] has recently demonstrated its strength as the second-largest cryptocurrency by market capitalization, seeing notable gains. Over the past 24 hours, ETH surged by nearly 10%, reaching a trading price of $3,374 at the time of writing. 

While it remains approximately 30% below its all-time high of $4,878 recorded in 2021, the recent rally signals potential bullish activity in the broader altcoin market.

See also  Ethereum's supply crisis - Is this a potential set-up for a new rally?

Amid this performance, CryptoQuant analyst Mac.D highlighted the beginning of an altcoin season in a post on the QuickTake platform. The analyst pointed to Ethereum’s circulating velocity and transaction growth as indicators of this rally. 

Altcoin season begins

Velocity, which measures how quickly coins circulate in the market by dividing the annual coin movement by the total supply, has historically risen during altcoin market rallies. 

Ethereum (ETH) velocity

Source: CryptoQuant

Despite currently low velocity levels of approximately seven times the total supply, Ethereum’s role as a primary collateral asset for institutional investors is poised to play a pivotal role.

The analyst emphasized that a rise in ETH’s price could stimulate DeFi liquidity and confirm the onset of an altcoin season.

Ethereum’s recent gains come in the context of a broader narrative. While Bitcoin has outpaced Ethereum in recent rallies, Ethereum’s role as a backbone for DeFi and a top choice for institutional collateral positions it for substantial influence. 

However, challenges such as competition from faster and cheaper blockchain networks like Solana, Tron, and Aptos highlight the hurdles Ethereum must overcome. Yet, as Ethereum’s transaction growth and velocity improve, it is expected to drive liquidity creation, benefiting the altcoin ecosystem.

LINK as a case study

A closer look at one of the prominent altcoins, Chainlink, supports the altcoin season thesis. LINK has recorded a 16.6% increase in the past week, bringing its trading price to $15.26. 

This growth aligns with Ethereum’s rising activity and suggests broader altcoin momentum. Key metrics bolster this case: LINK’s active addresses—a measure of retail interest—have surged, increasing from below 2,000 in October to over 5,000 by 21st November, according to Glassnode.

Altcoin case study (LINK) active addresses

Source: Glassnode


Read Ethereum’s [ETH] Price Prediction 2024–2025

See also  Deribit Moves $783M in Ethereum To Cold Storage: A Bullish Signal for ETH?

Further strengthening the argument for an altcoin season, Chainlink’s derivatives data also shows bullish signs. Data from Coinglass indicates a 7.76% increase in LINK’s open interest, now valued at $294.88 million.

Source: Coinglass

Source: Coinglass

Additionally, LINK’s open interest volume has risen by 0.86%, reaching $726.97 million. These metrics suggest heightened investor activity and confidence in LINK’s near-term performance.

Next: Mapping Bitcoin’s path to $139k: Past election cycles suggest…
Tags: AltcoinAnalystsConfirmEthereumgainsmomentumofficiallySeason

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Comments 17

  1. EquilibraTrort says:
    8 months ago

    Equilibrador Portatil Balanset-1A
    Balanset-1A: El Dispositivo Ideal para la Balanceo de Rotores

    En el mundo de la ingeniería y la mecánica, el equilibrio dinámico de los rotores es crucial para el correcto funcionamiento de diversas máquinas. El Balanset-1A se presenta como una solución efectiva y versátil para la balanceo y análisis de vibraciones en una amplia gama de aplicaciones, incluyendo trituradoras, ventiladores, ejes, centrífugas y turbinas.

    Principio de Balanceo Dinámico

    El balanceo dinámico se basa en la idea de que cualquier rotor que no esté perfectamente equilibrado generará vibraciones durante su operación. Estas vibraciones pueden provocar un desgaste prematuro de los componentes, fallos mecánicos y disminución de la eficiencia operativa. Al identificar y corregir los puntos de desequilibrio, se logra un funcionamiento más suave y eficiente.

    Características del Balanset-1A

    El Balanset-1A es un dispositivo que combina la funcionalidad de un vibrómetro y un equilibrador, ofreciendo múltiples modos de operación:

    • Modo Vibrómetro: Permite medir la velocidad de rotación (RPM), analizar la frecuencia fundamental y proporcionar un espectro detallado de las señales de vibración.
    • Modo Balanceo: Facilita el balanceo en una o dos planos y calcula la tolerancia de balanceo de acuerdo con la norma ISO 1940.
    • Gráficos y Análisis: Genera gráficos que representan la vibración total y presenta un análisis espectral para una comprensión más profunda del estado del rotor.

    Ventajas del Balanset-1A

    El Balanset-1A no solo es compacto y portátil, sino que también ofrece un software intuitivo que guía a los usuarios a través del proceso de balanceo. Su alta precisión en las mediciones, con un margen de error de ±1° para la fase y ±5% para la vibración, lo hace ideal para aplicaciones que requieren exactitud.

    El dispositivo también es adecuado para la balanceo en serie, lo que lo convierte en una excelente opción para fábricas que manejan grandes volúmenes de producción. Este equipo permite almacenar y acceder a sesiones de balanceo anteriores, facilitando la repetición de procesos y ahorrando tiempo.

    Proceso de Balanceo con Balanset-1A

    El proceso de balanceo con el Balanset-1A incluye varias etapas:

    1. Preparación del equipo: Instalar sensores de vibración y un tacómetro, y conectar el dispositivo a un ordenador.
    2. Medición inicial: Iniciar el rotor y medir el nivel de vibración para determinar la magnitud del desequilibrio.
    3. Balanceo en la primera y segunda planca: Colocar pesos de prueba en las respectivas planos y ajustar según los datos obtenidos.
    4. Corrección del desequilibrio: Basado en los datos, el software sugiere pesos correctivos y ángulos de instalación.
    5. Verificación final: Realizar una última medición de vibración para confirmar que el equilibrio ha sido alcanzado.

    Proceso de Balanceo

    Balanceo en la primera planca

    Balanceo en la segunda planca

    Corrección del desequilibrio

    Conclusión

    El Balanset-1A es una herramienta indispensable para cualquier profesional que busque optimizar el rendimiento de sus equipos rotativos. Con su diseño portátil, software intuitivo y precisión de medición, permite a los usuarios llevar a cabo un balanceo efectivo y eficiente. Con un precio competitivo de 1751 euros, representa una excelente inversión para la mejora de la calidad en la producción.

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