Bitcoin’s Recent Decline Sparks Debate on Altcoin Season Amid Market Consolidation Possibilities

Key Points

1. Altcoins such as Solana (SOL), XRP, and Dogecoin (DOGE) have seen losses of over 5% in the past week, with SOL dropping by 9.45%, XRP by 5.48%, and DOGE by 10.80%.

2. The OTHERS index, tracking altcoins outside the top 10 by market cap, has dropped 18.7% over the past 10 days, indicating rapid derisking in the broader altcoin market.

3. The CoinMarketCap Altcoin Season Index dropped from 55 to 40, signaling a shift away from altcoin season back to Bitcoin dominance.

4. Some analysts, like Merlijn The Trader, suggest that altcoins may be coiling for a violent breakout, indicating potential for a future rally.

5. Bitcoin's price fell below $113,000 amid whale sell-offs and market volatility, further impacting altcoin performance.