MYX was the best performer among top 100 tokens, but traders are suspicious of a deliberately caused short squeeze that may not be sustainable.
After months of waiting, the crypto market entered the altcoin season stage in just a few short days. The performance of altcoins was driven by a mix of blue-chip expansion and dramatic pumps from newly active assets.
Based on the performance of top 100 crypto assets, altcoin season is back in full swing. After months of waiting, altcoins are going through dramatic rallies almost daily.
The growth of the altcoin season index is a mix of solid performance from blue-chip assets and rapid pumps from new projects or returning altcoins and tokens from previous bull markets. The main drivers of the current altcoin season are a solid ETH performance and a baseline $4,300 price, while SOL recovered above $225 and BNB holds close to its records above $900.
The altcoin season index broke above 76 points for the first time since December 2024, boosted by several recent pumps from high-profile tokens. While those pumps may not be sustainable, the market has shown some appetite for short-term risk.
Over the years, altcoin seasons have been shorter, as the market is oversaturated with assets. However, during that short time, new narratives make fast move and reach peak valuations.
This time around, the altcoin season happened as BTC dominance was around 56%, while ETH had a 13.6% share of the total market cap. As usual, the altcoin season followed the ETH breakout, though not all assets were connected to the Ethereum ecosystem.
Based on social media sentiment, some of the old narratives are barely active. This time around, altcoin season has not lifted all assets, and some coins and tokens from previous bull markets are still far from their all-time peak.
The performance of the top 100 assets is skewed by selected pumps. This time around, the altcoin season may hinge on several high-profile projects creating deliberate hype with their communities.
One of the top-performing tokens during the past day was MYX, a relatively new project that launched in May at $0.08. Later, in August, MYX climbed to around $2.59, before shooting up to its recent all-time high at $26.75.
MYX saw a sudden inflow of fresh capital in the past week, with volumes growing seven times to over $350M per day. The token easily reached a market cap above $3.5B, becoming the top-performing asset to determine the altcoin season index.
Other sudden pumps include Ethernity Chain, breaking out by 312% to $2.49, Naoris Protocol adding 58% and Elastos, up over 35%. Those pumps are far ahead of the performance of older assets, and show an element of short-term hype or possibly deliberate pumps.
