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CryptoQuant CEO Ki Young Ju predicts a selective altcoin season in 2025, where ETF approvals and strong fundamentals will determine the winners.
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Most cryptocurrencies beyond Bitcoin and Ether may not experience a widespread “altcoin season” rally in 2025, but projects with strong fundamentals and revenue-generating models could outperform the broader market, according to Ki Young Ju, the founder and CEO of CryptoQuant.
“Most altcoins won’t make it” during the 2025 market cycle, Ju wrote in a Feb. 25 X post.
However, cryptocurrencies with potential exchange-traded fund (ETF) approvals, robust revenue-generating models and sustained investor attention may outperform the rest of the market, Ju said. “The era of everything pumping is over,” he added.
Source: Ki Young Ju
Ju’s outlook comes as 24% of the 200 largest cryptocurrencies have fallen to their lowest levels in more than a year, sparking speculation about possible market capitulation.
Top 200 cryptocurrencies. Source: Jamie Coutts
The current downturn may signal an incoming market capitulation, according to Juan Pellicer, senior research analyst at crypto intelligence platform IntoTheBlock.
“The recent market correction, with significant liquidations (especially in assets like Solana) and a drop in total crypto market cap to $3.13 trillion, points toward possible capitulation as overleveraged positions are flushed out,” Pellicer told Cointelegraph.
In financial markets, capitulation refers to investors selling their positions in a panic, leading to a significant price decline and signaling an imminent market bottom before the start of the next uptrend.
Related: Bitcoin tumbles under $90K amid ETF sell-off, mounting liquidations
Which cryptos may see an ETF approval?
At least seven cryptocurrencies are awaiting ETF approval from US regulators, which could boost institutional investment and demand for these assets.
As of Feb. 25, the cryptocurrencies awaiting ETF approvals include Cardano (ADA), Solana (SOL), XRP (XRP), Litecoin (LTC), Hedera (HBAR), Dogecoin (DOGE) and Polkadot (DOT).
Additionally, the US Securities and Exchange Commission has received its first filings for Official Trump (TRUMP) and Bonk (BONK) ETFs, Cointelegraph reported on Jan. 21.
Related: Wintermute withdraws $38M SOL from Binance ahead of $2B Solana unlock
Still, some altcoins staged a price rally despite a lack of growing active users, indicating that altcoin season has yet to arrive, according to Marcin Kazmierczak, co-founder and chief operating officer of blockchain oracle solution firm RedStone:
“Lower daily active addresses on most altcoins compared to 2021 peaks does suggest we’re earlier in the cycle.”
“Price recovery without matching daily active address growth indicates we’re likely in the initial speculative phase before widespread adoption kicks in,” he added.
Magazine: Solana ‘will be a trillion-dollar asset’: Mert Mumtaz, X Hall of Flame
This article first appeared at Cointelegraph.com News
