Altcoin Season Looms as Crypto Market Regains $4 Trillion Level

The global cryptocurrency market has once again climbed above the $4 trillion mark, rising more than 2% in the past 24 hours and clearing its 50-day moving average, a milestone Bitcoin itself has yet to achieve.

The broad advance is fueling speculation of a fresh altcoin rally, particularly among large-cap tokens.

Bitcoin Pushes Higher Ahead of U.S. Inflation Data

Bitcoin briefly topped $114,000 on Wednesday, its highest level in two and a half weeks, after weaker-than-expected U.S. producer price data. Traders are now watching Thursday’s U.S. consumer inflation report, which could influence Federal Reserve interest-rate decisions and determine whether BTC can break through its own 50-day moving average and extend the recent uptrend.

Sentiment indicators remain mixed. Analytics firm Santiment reports a cooling outlook among traders, with some predicting a retreat toward $100,000 for Bitcoin and $3,500 for Ether. Historically, however, crypto markets have often moved counter to consensus forecasts, leaving those bearish calls in question.

Corporate and Regulatory Moves

In corporate news, Japan’s Metaplanet announced plans to allocate $1.45 billion to Bitcoin purchases this year, following a major share sale that expanded its float from 185 million to 385 million shares.

A report from Bitwise highlighted growing pressure on banks to raise deposit rates as stablecoins attract increasing demand and market share.

Regulators are also advancing crypto frameworks worldwide: Kyrgyzstan’s parliament approved a bill to create a government reserve of digital assets, while Vietnamese authorities gave the green light to launch a five-year pilot for a legal cryptocurrency market.

Industry Commentary

Meanwhile, Charles Hoskinson, founder of Cardano, delivered sharp criticism of Ethereum, predicting the network could face “structural collapse” within the next decade.

Hoskinson cited what he called fundamental flaws, including inefficiencies in the Ethereum Virtual Machine, an unsuitable accounting model, and weaknesses in its consensus mechanism.