ChainCatcher news, according to Coinmarketcap data, the Altcoin Season Index recently hit its lowest level since September 3, 2024, at 13, and has now rebounded to 21, still significantly down from the February average of 43 points.The Altcoin Index has been on a downward trend since reaching an annual high of 87 on December 4, 2024, with only 15 out of the top 100 cryptocurrencies by market capitalization having gains that surpassed Bitcoin in the past 90 days.

ChainCatcher news, BeInCrypto analysts predict that due to the SEC's announcement today that PoW mining does not constitute a securities offering and is not subject to securities regulations, the SEC may approve multiple altcoin ETFs in Q2 2025. This regulatory clarity could change the chances of approval for some PoW crypto asset ETFs. For example, Litecoin, which falls into this category, is now very likely to be approved.Analysts also added that the SEC previously announced in February that meme coins do not constitute securities, which may be due to regulatory hurdles faced by the Dogecoin ETF. The SEC may declare that all these assets are not securities, laying the groundwork for future ETF applications.

ChainCatcher news, according to The Block, Bitwise's alpha strategy head Jeff Park stated on the Castle Island Ventures podcast, "I think MicroStrategy is essentially a clone of traditional finance."Jeff Park mentioned that another unique aspect of Strategy is that it has demand, as some retail investors are still not allowed to purchase spot Bitcoin ETFs.

ChainCatcher news, according to Bitcoinist, the SEC has delayed its decision on whether to approve the applications for exchange-traded funds (ETFs) supported by several altcoins (including XRP, Solana, Litecoin, and Dogecoin), as well as a new Ethereum ETF proposal that allows issuers to stake their held assets and distribute part of the profits to investors.Bloomberg ETF analysts James Seyffart and Eric Balchunas provided their predictions for the approval of altcoin ETFs: the likelihood of approval for the Litecoin ETF is 90%, for the Solana ETF is 70%, for the Dogecoin ETF is 75%, and for the XRP ETF is 65%.

ChainCatcher news, according to Coinmarketcap data, the Altcoin Season Index is currently at 13, marking the lowest annual level since September 3, 2024, a significant drop from last month's 43 points.The Altcoin Index has been on a downward trend since reaching an annual high of 87 points on December 4, 2024. This index shows that in the past 90 days, only 13 projects among the top 100 cryptocurrencies by market capitalization have outperformed Bitcoin.

ChainCatcher news, according to Cointelegraph, the ETH/BTC ratio has dropped to its lowest level since mid-2020. Economist and cryptocurrency trader Alex Kruger stated, "If you still hold ETH, now might be a good time to switch to high beta altcoins. If the market goes down, the losses in both cases could be similar, but if the market goes up, you could see significant outperformance, and then you can switch back to BTC."Many in the crypto industry view the "bottoming" of the ETH/BTC ratio as a signal that altcoin season may be starting. Benjamin Cowen, founder of Into The Cryptoverse, stated that for altcoin season to arrive, "ETH/BTC needs to bottom and start an upward trend."However, other indicators suggest that altcoin season may not arrive soon, and Bitcoin may continue to maintain its market share in the short term. CoinMarketCap's altcoin season index shows a score of 13/100, leaning more towards Bitcoin season. Crypto trader Hansolar mentioned that this year will be "an all-year Bitcoin season." According to TradingView data, Bitcoin's market dominance currently stands at 62.15%, while when Ethereum reached its all-time high of $4,800 in November 2021, Bitcoin's market dominance was around 42%.

ChainCatcher news, Matrixport released today's chart showing that Bitcoin's dominance has surged to a new high for this cycle, breaking the previous peak to reach 61.2%, clearly indicating that the altcoin rebound was extremely brief. Data shows that this round of altcoin market lasted only about a month, starting from Trump's election in November 2024, and abruptly ending in early December.The report pointed out that a better-than-expected U.S. employment data quickly shifted the market focus, and the Federal Reserve's more hawkish stance increased downward pressure on risk assets. Although Bitcoin's price has pulled back, its performance still significantly outperformed the market, and seasoned traders have rotated back from altcoins to Bitcoin. Despite Bitcoin's own price pullback, its performance remains significantly better than the market.Analysts believe that the current market hopes to rely on a recovery in liquidity to push Bitcoin further up, but under the backdrop of the Federal Reserve's unchanged hawkish tone, the next round of increases may still require more patience.

ChainCatcher News: The U.S. Securities and Exchange Commission (SEC) has delayed several cryptocurrency spot ETF applications this morning, including Grayscale's Cardano (ADA) and DOGE spot ETFs, Canary's XRP, Solana, Litecoin spot ETFs, and VanEck's Solana spot ETF.

ChainCatcher News: The U.S. Securities and Exchange Commission (SEC) has delayed the approval of the Canary spot Litecoin ETF.

ChainCatcher news, according to Bravos Research analysis, the current cryptocurrency market is experiencing the largest altcoin liquidation since the LUNA crash in May 2022. Approximately $10 billion has been liquidated in the market, a scale far exceeding that after the FTX collapse. Data shows that Bitcoin's dominance continues to rise, indicating that there are no clear signals of an altcoin season in the short term.

ChainCatcher news, according to TradingView data, Bitcoin's market dominance (BTC.D) has remained above 60% for most of the past month since it returned to 60% on February 2, currently reported at 61.25%, and the market seems to be at a standstill.According to analyst ai_9684xtpa sharing historical data, when Bitcoin's market dominance surged above 60% last November, altcoins entered a small bull market. In 2019 and 2021, Bitcoin's market dominance also reached highs of over 70%, followed by a general market rally.

ChainCatcher news, according to the Financial Times of the UK, the cryptocurrency executive order ultimately signed by the Trump administration differs significantly from its previous social media messaging. According to the latest executive order, the U.S. will establish a "strategic Bitcoin reserve" and a "digital asset repository," but the source of funds is limited to tokens obtained through "criminal or civil asset forfeiture proceedings," rather than market purchases.The report points out that Bitcoin "will be held as a reserve asset," meaning it will be permanently retained, while other tokens (including Ethereum and possibly XRP, SOL, and ADA) can be sold but not purchased. This is in stark contrast to the image previously suggested by Trump of a "Congress-approved, well-funded last buyer."The Financial Times analysis believes that this plan will convert about 200,000 Bitcoins from temporary freezes to permanent freezes, while creating selling pressure on all other tokens like Ethereum. Compared to last year's discussions of a "crypto sovereign wealth fund capable of repaying national debt," this resembles more of a "bait-and-switch."

ChainCatcher news, according to Cointelegraph, Professor Yu Xiong, Dean of the School of Blockchain and Metaverse Applications at Surrey University, conducted an in-depth analysis of the inclusion of cryptocurrencies in national-backed reserves, calling it a "double-edged sword" with clear advantages and disadvantages.Xiong pointed out that the main advantage of a multi-asset reserve is the provision of more diverse options, reducing over-reliance on Bitcoin, which currently accounts for about half of the total cryptocurrency market capitalization. "The DeFi ecosystem of Ethereum (with a total locked value of about $50 billion) and the high-speed transactions of Solana (65,000 TPS) represent technological diversity." He added that the inclusion of altcoins also acknowledges the broader application scenarios of blockchain, such as Ukraine raising $135 million in crypto donations through coins like ETH and SOL after being invaded by Russia in 2022.However, Xiong emphasized several potential risks. The first is regulatory uncertainty, as the SEC is still in litigation with Ripple, "the government holding these tokens may face opposition." The second is liquidity risk; due to the low trading volumes of these coins, government purchases or sales could lead to significant price surges or drops. In the last 24 hours, Bitcoin's trading volume was $54.8 billion, while ETH was $23.4 billion, XRP was $5.5 billion, SOL was $5.4 billion, and ADA was $3.6 billion, which may indicate that some altcoins "lack the depth for large-scale reserves."Regarding concerns about market manipulation, Xiong stated, "The market disruption caused by the U.S. Treasury's sale of 30,000 Silk Road Bitcoins in 2014 was minimal, but today, selling 3% of the Bitcoin supply (about $5.5 billion) could lead to a 15% price drop."On the potential impact of U.S. crypto reserves, Xiong believes it will provide strong support for the crypto and blockchain industry, marking an increase in institutional acceptance and accelerating the adoption of traditional financial companies, similar to how BlackRock attracted $18 billion in assets under management within six months after launching a Bitcoin ETF. He stated, "U.S. reserves may mimic the role of the Strategic Petroleum Reserve in energy security, positioning cryptocurrencies as geopolitical tools."Xiong also warned that the crypto market remains fragile, with Bitcoin's annualized volatility fluctuating between 30% and 60% over the past year, while oil volatility is below 35%. Higher volatility raises concerns about manipulation or unintended market distortions.Regarding the impact of U.S. crypto reserves on the crypto and blockchain industry, Xiong summarized it as "short-term optimism, long-term caution," believing it could provide "cover" for institutional investors like pension funds. "If the U.S. government deems it appropriate, then corporate treasuries and institutional investors may also find it appropriate. The $50 trillion managed by pension funds and insurance companies globally may increase their allocation to cryptocurrencies," Xiong stated, similar to the situation after the approval of Bitcoin ETFs in early 2024.

ChainCatcher news, according to pymnts, has faced strong criticism from industry insiders after Trump announced the inclusion of XRP, ADA, and even SOL in the crypto strategic reserves. However, Chris Chung, founder of the Solana ecosystem DEX Titan, stated that the current question is whether we will see some actual details regarding crypto legislation in the foreseeable future.He further explained, "It is clear that President Trump is now the driving force behind the trends in the crypto market, and he is certainly favoring certain cryptocurrencies. But I believe that the confidence vote from the U.S. government may accelerate the approval of altcoin ETFs, including Solana, XRP, and other tokens awaiting SEC decisions."

ChainCatcher news, according to a research report by Kaiko, the market slump in February triggered several waves of liquidations, significantly reducing the leverage levels of the top ten altcoins. Analysts believe that this position reset has created a healthier foundation for the cryptocurrency market, potentially paving the way for a more sustained upward trend in the coming weeks.The report notes that with the U.S. announcing the establishment of a strategic cryptocurrency reserve plan, although Bitcoin's reaction was relatively muted, overall market volatility surged, especially among altcoins. The intra-day volatility, which had been below 200% since the tariff sell-off in February, skyrocketed after the announcement, with ADA's volatility breaking 600%, marking the largest increase among major altcoins.Kaiko's analysis indicates that the inclusion of specific altcoins in the U.S. strategic reserve may accelerate the rotation of capital among altcoins, reinforcing the trend of concentrated gains in altcoins. Since last November, trading activity on U.S. exchanges has increasingly been dominated by large-cap assets. A year ago, the top ten altcoins accounted for 58% of altcoin trading volume on U.S. platforms, and 50% on offshore exchanges; as of last week, these shares have risen to 77% and 66%, respectively.

ChainCatcher news, according to BTCTN, Jan3 CEO Samson Mow has issued a warning regarding the cryptocurrency reserve plan proposed by Trump, pointing out that if the plan includes random altcoins, it could lead to chaos.Mow stated that if the reserve plan recklessly mixes various cryptocurrencies such as XRP, SOL, ADA, and ETH, it could reduce it to a purely speculative game. He is particularly concerned about the risk of market manipulation, believing that if Trump can choose any cryptocurrency at will, it would create opportunities for lobbyists and insiders.Mow indicated that a real strategy should prioritize proof-of-work assets like BTC, LTC, and XMR. He warned that if Trump's cryptocurrency reserve goes off track, it could push the United States towards "unprecedented degradation."