Altcoin Season is Back! Market Signals Point to Risk‑On Boom

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Altcoin season signal returns as business cycle turns risk-on: Analyst

According to crypto analyst Michaël van de Poppe, the improving business cycle is a positive sign, especially for altcoins.

Summary

  • Van de Poppe says a stronger business cycle may revive appetite for selective altcoin risk.
  • ETH/BTC recovery signals need confirmation above 0.035 before broader rotation can start firmly.
  • The CLARITY Act cleared committee, but Senate hurdles still make regulatory timing uncertain for traders.

Investors tend to be more comfortable with riskier investments when they’re optimistic about how the economy will perform.

He noted that the business cycle has been declining for over four years, a period coinciding with Ethereum‘s weaker performance compared to Bitcoin. He also suggested that changes in gold, oil prices, and interest rates indicate the market could be on the verge of a significant shift.

Copper and gold ratio draws attention

Van de Poppe also highlighted the relationship between copper and gold prices. Copper usually rises with industrial activity, while gold often increases when investors are worried about the economy. If copper performs better than gold, it may suggest that investors are feeling more confident and willing to take risks.

He believes Ethereum’s potential growth is tied to how it performs compared to Bitcoin, mirroring a pattern he sees with copper and gold. Specifically, if copper starts to outperform gold, he predicts Ethereum could follow Bitcoin’s upward trend within one to three months. However, this is currently just his market prediction, not a guaranteed result.

Recent data backs up the idea of being careful with predictions. Crypto.news noted that the ETH/BTC ratio bounced back to 0.0313 in April – its highest point since January. However, experts say ETH needs to finish the week with a price above 0.035 to truly signal a significant shift in the market.

Altcoins are performing differently from each other. According to crypto.news, investment in early 2026 has focused on tokens used for payments, platforms for trading, blockchains that can handle many transactions, and the infrastructure for complex financial products, while less popular altcoins have struggled. This aligns with Van de Poppe’s prediction that only a few select altcoins will likely perform well in the beginning.

CLARITY Act adds policy angle

Van de Poppe believes the CLARITY Act could influence the market, suggesting investors might sell based on speculation and then buy when the news is official. However, this is just a possibility, as the bill hasn’t become law yet.

I just saw that the CLARITY Act passed through the Senate Banking Committee with a 15-9 vote on May 14th, according to crypto.news. It’s not a done deal yet though – it still needs 60 votes in the Senate, some work on the wording to address ethical concerns, and it needs to be aligned with whatever version the House of Representatives comes up with before it can even get to the President’s desk. So, a lot still needs to happen!

The overall economic environment is still challenging. As crypto.news noted, many alternative cryptocurrencies (altcoins) were trading near their lowest prices in March, indicating limited buying and selling activity and cautious investor behavior. Bitcoin hasn’t performed as well as gold this year, and experts believe investors need to feel more confident before money flows back into the crypto market.

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2026-05-18 15:49