Altcoins Have Been Struggling
Over the past few months, altcoins haven’t been doing too well. Since early December 2024, their value has dropped by almost 38%. Right now, the total value of all altcoins combined is about $1.1 trillion.
But now, some experts think that could change soon.
Bitcoin Might Be Losing Its Lead
There’s a thing called Bitcoin Dominance — it shows how much of the total crypto market belongs to Bitcoin. When this number is high, it usually means people are mostly focused on Bitcoin. But when it drops, it often means money is starting to flow into altcoins.
A crypto analyst known as Mister Crypto posted a chart showing that Bitcoin might be hitting a wall — a level where it struggles to grow more. If that happens, Bitcoin could slow down, and altcoins could start to shine.
“Bitcoin Dominance will drop. Altcoin season is coming. We’re all going to get rich this year!” he said on X (formerly Twitter).
Another analyst agreed and said Bitcoin’s market share has likely peaked, meaning altcoins might finally get their moment.
The Altcoin Index Is Really Low (Which Might Be Good)
There’s also something called the Altcoin Season Index. It shows how well the top 50 altcoins are doing compared to Bitcoin. The score is only 16 out of 100 right now — that’s very low.
But here’s the twist: the last time it was this low was back in August 2024, and soon after, altcoins had a big rally. The index shot up to 88 by December. So, a low score like this could mean we’re at the bottom — and altcoins could be ready to climb again.
This pattern isn’t new:
- In 2021, when Bitcoin’s dominance dropped, coins like Ethereum and Solana skyrocketed.
- Back in 2017, smaller coins like XRP went up more than 30 times in just a few months.
Global News Is Helping Too
Some things happening around the world are also making investors feel better.
For example, former President Donald Trump recently delayed new import taxes (called tariffs) for 90 days. That made investors feel more relaxed, and some think it could lead to more money coming into crypto — especially altcoins.
“90 days of no tariffs = 90 days of altcoin season,” joked one analyst.
Another factor is something called quantitative easing (QE), where central banks print more money to help the economy. Crypto analyst Crypto Rover said that if QE starts again, it could be a big push for altcoins since there would be more money going around.
“When QE kicks in, altcoins are going to fly!” he said.
But Some Say Don’t Get Too Excited
A report from Kaiko Research says we might not see a full-blown altcoin season like before. Instead, only a few strong altcoins might do well — mostly the ones with real-world uses, steady trading, and ways to make money.
“Altcoin seasons might be over,” they said. “The crypto market is changing, and not all coins move the same anymore.”
They also pointed out that most of the trading activity is now focused on just a few big names like Bitcoin and Ethereum. And as Bitcoin becomes more accepted by big investors and even governments, it’s likely to keep leading the pack.
Is Altcoin Season Almost Here? Here’s What’s Happening – admin