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ETH Season Continues: Altcoins Down 51% vs ETH Since April; Watch ETH > $5K for Short Altseason Outperformance | Flash News Detail | Blockchain.News
Latest Update
8/23/2025 2:09:23 PM

ETH Season Continues: Altcoins Down 51% vs ETH Since April; Watch ETH > $5K for Short Altseason Outperformance

ETH Season Continues: Altcoins Down 51% vs ETH Since April; Watch ETH > $5K for Short Altseason Outperformance

According to Cas Abbé, altcoins are down 51% against ETH since April, indicating the market is still in an Ethereum Season rather than a broad Altseason (source: Cas Abbé on X, Aug 23, 2025). He adds that once ETH breaks above $5,000, a few weeks of altcoin outperformance is expected, framing $5K as the key trigger for a potential short-term rotation into alts (source: Cas Abbé on X, Aug 23, 2025).

Source

Analysis

As cryptocurrency markets continue to evolve, recent insights from trader Cas Abbé highlight a persistent dominance of Ethereum over alternative coins, or alts. According to Cas Abbé's analysis shared on August 23, 2025, alts have plummeted 51% against ETH since April, underscoring that the much-anticipated altseason has not yet materialized. Instead, we're firmly in what he terms "Ethereum Season," where ETH maintains its stronghold. This perspective suggests traders should monitor ETH's price action closely, particularly as it approaches the critical $5,000 threshold, which could trigger a short-term shift favoring altcoin outperformance.

Ethereum's Dominance and Altcoin Struggles in Current Market Dynamics

In the broader context of crypto trading, Ethereum's resilience against alts is evident in key metrics. For instance, the ETH/BTC pair has shown stability, with ETH often serving as a safe haven amid market volatility. Traders analyzing on-chain data might note Ethereum's robust network activity, including high transaction volumes and staking rewards, which bolster its value proposition. As of recent trading sessions, ETH has been consolidating around the $3,000 to $4,000 range, with support levels at approximately $3,200 and resistance near $4,200. Breaking above $5,000, as predicted by Cas Abbé, could catalyze a momentum shift, potentially leading to increased trading volumes in altcoin pairs like SOL/ETH or ADA/ETH. This scenario presents trading opportunities for those positioning long on ETH futures while preparing for altcoin rotations. Market indicators such as the Relative Strength Index (RSI) for ETH currently hover around 60, indicating room for upward movement without immediate overbought conditions.

Trading Strategies Amid Ethereum Season

For active traders, this Ethereum-centric phase implies a strategic focus on ETH-denominated pairs to capitalize on relative strength. Historical patterns show that during similar periods, alts underperform until ETH achieves a significant breakout, often followed by a brief window of altcoin rallies. Consider monitoring trading volumes on exchanges, where ETH's 24-hour volume frequently exceeds $20 billion, dwarfing many alts. On-chain metrics, such as Ethereum's total value locked (TVL) in DeFi protocols surpassing $100 billion, further validate its dominance. Savvy traders might employ tactics like hedging alt positions with ETH longs or using options to bet on volatility spikes post-$5K breach. If ETH surges past this level, expect alt outperformance lasting a few weeks, with potential gains in mid-cap alts like LINK or UNI, based on past cycles where alts gained 20-50% against ETH in short bursts.

Looking ahead, the interplay between Ethereum upgrades and broader market sentiment could influence these dynamics. Institutional flows into ETH ETFs have been a key driver, with inflows reaching billions in recent months, contrasting with outflows from altcoin funds. This institutional preference reinforces Ethereum Season, but a $5K breakout might attract fresh capital into alts, sparking a mini-rally. Traders should watch for correlations with Bitcoin's movements; if BTC stabilizes above $60,000, it could provide the tailwind ETH needs. In terms of risk management, setting stop-losses below key support levels and scaling into positions gradually is advisable. Overall, this analysis points to a cautious yet opportunistic approach, prioritizing ETH while eyeing altcoin rebounds for diversified portfolios.

From a sentiment perspective, social metrics like Twitter mentions and Google Trends for "altseason" have spiked, yet price action tells a different story with alts lagging. Integrating technical analysis, the ETH/USD chart displays a bullish ascending triangle pattern, hinting at an imminent breakout. For those trading multiple pairs, consider ETH/ALT ratios, which have declined sharply since April, aligning with Cas Abbé's 51% drop observation. As we navigate this phase, focusing on verifiable data and avoiding hype is crucial for sustainable trading success.

Cas Abbé

@cas_abbe

Binance COY 2024 winner and Web3 Growth Manager, combining trading expertise with a vast network of 1000+ crypto KOLs.