Bitcoin Dominance at Tipping Point: Are Altcoins Ready to Surge?

The crypto market is on fire after Trump’s victory in the US election, and Bitcoin (BTC) just shattered its all-time high, reaching a massive $89,956. However, Bitcoin’s dominance is nearing its peak after the halving event, and investors are now eyeing smaller altcoins. Prominent crypto analyst Cryptojack highlighted a pattern of Altcoins taking turns leading the market, suggesting that an altcoin season is just around the corner.

Is Altcoin Season on the Way?

Cryptojack’s analysis shows a recurring pattern between Bitcoin’s peak phases and altcoin rallies. He notes specific intervals where, after Bitcoin reaches new highs, altcoins often start to outperform.

According to his data, when Bitcoin rises for roughly 1,065 days, the market typically shifts to favor altcoins. In past cycles, this trend was followed by declines lasting about 330 to 340 days, such as those seen in 2018 and 2022.

Right now, we’re approaching the end of another Bitcoin dominance phase that has lasted 1,066 days, which hints that a new “altcoin season” could be close. 

This expected shift is exciting for investors who are looking to diversify beyond Bitcoin and waiting for the beginning of the alt season.

Stay Cautious!

Not all analysts agree that altcoin season is right around the corner. Crypto analyst Miles Deutscher argues that a full-fledged altcoin season might still be some time away, describing the current market environment as merely a “warm-up” for a larger altcoin rally.

Deutscher references the Altcoin Season Index, which measures how well altcoins are performing compared to Bitcoin.

Currently, the Altcoin Season Index is at 33, far from the 75 mark that typically signals the start of a true altcoin season. Deutscher points out that, historically, Bitcoin often leads the market for a while before altcoins surge significantly.

Waiting for the Key 75-Point Indicator

Although there’s no set timeline for the next altcoin season, many analysts view the 75-point mark on the Altcoin Season Index as an important benchmark. Until then, investors will be watching Bitcoin’s dominance closely, looking for signs that altcoins are ready to rise.

For now, the market remains highly active, and it will be interesting to see if an altcoin season emerges soon or if Bitcoin continues its dominance a bit longer.