TechFlow news, January 9 — According to a report by Citigroup analysts on Monday, given that Ethereum is the only major cryptocurrency (apart from Bitcoin) approved as an underlying asset for a spot ETF, it could become a rotation target. The stronger performance of other cryptocurrencies and altcoins further supports this idea, suggesting that some market participants anticipate 2025 will usher in an "altcoin season" following Bitcoin's strong year.
Citigroup analysts noted that new policy support could help solidify the legitimacy of altcoins in the market, potentially driving up prices. Bitcoin, classified as a commodity, already has traditional financial instruments such as spot ETFs and futures. In contrast, the regulatory classification of other crypto assets remains more uncertain, and investment options are more limited.
The analysts added that additional policy support would provide a significant boost to altcoins compared to Bitcoin.
