[ad_1]
GameStop shares are trading 154% higher in 2024, compared to Bitcoin’s yearly gains of 129%. While Bitcoin’s gains came from the approval of Spot BTC ETF in the US and the fourth halving event, between January and April 2024, GameStop piled a majority of its gains on Monday and Tuesday.
Are you looking for signals & alerts from pro-traders? Sign-up to Invezz Signals™ for FREE. Takes 2 mins.
Legendary trader “Roaring Kitty” surfaced on X, with his tweets, catalyzing a rally in GameStop stock and meme coins on Solana. Dog and cat themed meme coins and memes that are named after (not affiliated with) the trader and the American consumer electronics firm, ROAR and GME yielded over 1,000% gains overnight.
Can GameStop rally kickoff altcoin season?
GameStop rallied alongside meme coins on Monday, making it likely that gains from the stock rotate into the crypto sector. This could kick-off an altcoin season, where 75% of the top 50 altcoins ranked by market capitalization outperform Bitcoin on a thirty day timeframe.
The Altcoin Season Index on Blockchaincenter.net read 80 on Monday, indicating Altcoin Month. The index has retraced to 65. However, capital rotation from GameStop gains could push altcoin prices higher, and once the index crosses the value of 75, it is officially “Altcoin Month.”
Altcoin Season Index
Why GameStop rally could catalyze gains in altcoins
The return of the trader responsible for the 2021 short squeeze has fueled market participants with hope for meme coins and altcoin price performance. While GameStop ushered gains in meme tokens like Dogecoin (DOGE), Shiba Inu (SHIB), Bonk (BONK), Popcat (POCAT), Dogwifhat (WIF), Pepe (PEPE) and Roaring Kitty (ROAR), traders are awaiting a rally in altcoins.
Crypto analyst @damskotrades pointed out that altcoin market capitalization surged post GameStop rally, capital likely rotated from the stock to cryptocurrencies. If a similar event occurs, there is a likelihood that altcoin market cap rallies as traders rotate gains from GameStop to assets ranked in the top 50 in market capitalization.
GameStop stock and Altcoin market capitalization
Technical analyst Yoddha, behind the Twitter handle @CryptoYoddha called a “mini altseason” and shared a chart that suggests a bounce in altcoin prices in the coming weeks.
Ad
Want easy-to-follow crypto, forex & stock trading signals? Make trading simple by copying our team of pro-traders. Consistent results. Sign-up today at Invezz Signals™.
[ad_2]
Source link
