Last night, Trump announced a trade tariff agreement with the UK, and with the US-China talks about to begin in Switzerland, investor sentiment was encouraged. The four major US stock indices closed higher on the 8th, and Bitcoin once again rose above $100,000 after three months.
Ethereum Strongly Rebounds Above $2,200
It is worth mentioning that in this rebound, Ethereum (ETH), which just completed the Pectra upgrade, surged over 20% in the past 24 hours, reaching a high of $2,244 at the time of writing, making it the best-performing token among the top 10.
Altcoin Season Coming?
According to Trading View data, the ETH/BTC exchange rate has also broken through 0.021, rising 14% in the past 24 hours.
Historically, when the Ethereum to Bitcoin exchange rate (ETH/BTC) rises, funds often flow from Bitcoin to other cryptocurrencies, driving market enthusiasm. Analyst Michaël van de Poppe points out that the current Altcoin market capitalization (ALTCAP) is stabilizing at a critical support level and may be poised for a breakthrough.
He believes that Altcoin ETFs potentially approved in 2025 (such as Litecoin, Solana, and Ripple) will further inject funds into the Altcoin market.
However, despite Ethereum's strong performance, Bitcoin's market dominance currently remains over 60%, temporarily reported at 64.7%, reaching its highest level since 2021. This means that market funds are still primarily concentrated in Bitcoin, and if this does not decline, it will limit the performance space of Altcoins.
Analyst Benjamin Cowen predicts that Bitcoin's dominance may need to fall below 54% to trigger a significant fund rotation into Altcoins.
