Altcoin season may have ended with institutional investors taking profit, warns Felix Hartmann, Managing Partner of Hartmann Capital. The subsequent decline could be quite severe. Since the election of Trump, the altcoin market has seen significant growth. However, with increased profit-taking by institutional investors, a decline is expected. Hartmann shared a chart indicating that most altcoins have annualized funding rates exceeding 100%. Recent gains have been driven by perpetual contract trades, while spot volumes are declining. Traders may remain irrational, but as teams and venture capitalists start to take profits, the market will need to deleverage, resulting in significant price drops. CoinMarketCap data shows that in the top 100 cryptocurrencies, the three altcoins with the highest gains since November 1st are HBAR (99.31% increase), IOTA (79.61% increase), and JASMY (72.47% increase). In 2021, the altcoin market experienced significant gains followed by sharp declines within a few months. For example, SOL reached a high point of 248.36 in November 2021 and then dropped to $64 in January 2022, a decline of 64%. XRP also experienced a decline of approximately 51% during the same period. Despite the warning from Felix Hartmann, other crypto traders believe that this is just the beginning of the altcoin season. Anonymous crypto trader Mikybull Crypto recently tweeted an analysis suggesting that altcoin season usually lasts about 90 days, so it would be reasonable for the altcoin season to continue until March next year. The market often sees the decline in BTC's market dominance as a key indicator of the start of altcoin season. Coinmarketcap data shows that BTC's market dominance is currently 54.4%, a decrease of 4.4% from 30 days ago (58.6%). Excluding BTC and Ethereum, the market dominance of the remaining cryptocurrencies has increased from 27.6% 30 days ago to the current 32.6%. However, it should be noted that according to CoinGlass data, the 30-day funding rates for most altcoins are still between 2% and 6%, meaning that long positions require a monthly payment of 2% to 6% to maintain leverage. Although these costs seem manageable in a strong uptrend, they can quickly erode traders' profits if prices stagnate or decline. Related reports: Altcoin Season Arrives: Analysis of 289 altcoins, with 60% seeing gains exceeding 100%. Public chains, Metaverse, and meme coins lead the rally. Is altcoin season coming? In addition to BTC.D, these three indicators can help you judge. SAND surges 100% in two days, and established public chains collectively awaken. Are the signals of altcoin season on? 'Altcoin season ending soon? Hartmann Capital warns: Institutions accelerating profit-taking, subsequent decline will be severe.' This article was originally published on BlockTempo, the most influential blockchain news media in the dynamic area.
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altcoin mevsimi sona mı eriyor? Hartmann Capital uyarıyor: Kurumlar karlarını hızla realize ediyor, gelecek düşüş çok şiddetli olacak
Altcoin season may have ended with institutional investors taking profit, warns Felix Hartmann, Managing Partner of Hartmann Capital. The subsequent decline could be quite severe. Since the election of Trump, the altcoin market has seen significant growth. However, with increased profit-taking by institutional investors, a decline is expected. Hartmann shared a chart indicating that most altcoins have annualized funding rates exceeding 100%. Recent gains have been driven by perpetual contract trades, while spot volumes are declining. Traders may remain irrational, but as teams and venture capitalists start to take profits, the market will need to deleverage, resulting in significant price drops. CoinMarketCap data shows that in the top 100 cryptocurrencies, the three altcoins with the highest gains since November 1st are HBAR (99.31% increase), IOTA (79.61% increase), and JASMY (72.47% increase). In 2021, the altcoin market experienced significant gains followed by sharp declines within a few months. For example, SOL reached a high point of 248.36 in November 2021 and then dropped to $64 in January 2022, a decline of 64%. XRP also experienced a decline of approximately 51% during the same period. Despite the warning from Felix Hartmann, other crypto traders believe that this is just the beginning of the altcoin season. Anonymous crypto trader Mikybull Crypto recently tweeted an analysis suggesting that altcoin season usually lasts about 90 days, so it would be reasonable for the altcoin season to continue until March next year. The market often sees the decline in BTC's market dominance as a key indicator of the start of altcoin season. Coinmarketcap data shows that BTC's market dominance is currently 54.4%, a decrease of 4.4% from 30 days ago (58.6%). Excluding BTC and Ethereum, the market dominance of the remaining cryptocurrencies has increased from 27.6% 30 days ago to the current 32.6%. However, it should be noted that according to CoinGlass data, the 30-day funding rates for most altcoins are still between 2% and 6%, meaning that long positions require a monthly payment of 2% to 6% to maintain leverage. Although these costs seem manageable in a strong uptrend, they can quickly erode traders' profits if prices stagnate or decline. Related reports: Altcoin Season Arrives: Analysis of 289 altcoins, with 60% seeing gains exceeding 100%. Public chains, Metaverse, and meme coins lead the rally. Is altcoin season coming? In addition to BTC.D, these three indicators can help you judge. SAND surges 100% in two days, and established public chains collectively awaken. Are the signals of altcoin season on? 'Altcoin season ending soon? Hartmann Capital warns: Institutions accelerating profit-taking, subsequent decline will be severe.' This article was originally published on BlockTempo, the most influential blockchain news media in the dynamic area.