Sygnum Predicts Altcoin Rebound Amid Improved Digital Asset Regulation

According to PANews, Swiss bank Sygnum has forecasted a potential rebound for altcoins in the second quarter of 2025, driven by enhanced digital asset regulation and increased user engagement. Despite Bitcoin's market dominance reaching a four-year high in April, Sygnum suggests that regulatory advancements in the United States, including initiatives by U.S. President Donald Trump to establish digital asset reserves and progress in stablecoin regulation, could foster broader cryptocurrency adoption. Sygnum anticipates that protocols successfully engaging users will outperform the market, potentially leading to a decline in Bitcoin's dominance. The growing focus on economic value has intensified competition, spurring better product development that ultimately benefits consumers. The report highlights that while high-performance blockchains address limitations of Bitcoin, Ethereum, and Solana, they still face challenges in achieving widespread adoption and generating revenue.