Altcoin season is a market phase when most top altcoins outperform Bitcoin; current indicators — a falling Bitcoin Dominance and an altcoin index at 61 — show early rotation toward altcoins, but neutral market sentiment means a sustained altcoin season is not yet confirmed.
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Altcoin season signals
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Bitcoin Dominance falling below 60% often precedes broader altcoin outperformance.
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Altcoin index at 61 (2025) vs. 75 threshold: momentum is building but not definitive.
Meta description: Altcoin season signals are emerging as Bitcoin Dominance falls and the altcoin index hits 61; learn what this means for Q4 2025 market positioning.
What is altcoin season?
Altcoin season is a market phase when the majority of top altcoins outperform Bitcoin over a defined period. It is typically measured by indexes that track top-50 coins versus BTC; a threshold (75% outperforming over 90 days) marks a formal altcoin season, and current readings suggest early rotation.
How does Bitcoin Dominance affect altcoin season?
Bitcoin Dominance (BTC.D) measures Bitcoin’s share of total crypto market cap and directly influences capital flow. A sustained drop below key levels — notably weekly support around 60% and critical zones near 55.36% — historically coincides with more capital rotating into altcoins, increasing chances of an altcoin season.
Key Takeaways
The fall in Bitcoin Dominance promised an altcoin season, but the Crypto Fear and Greed Index was still neutral. This meant that market-wide rallies will need time to establish themselves.
The crypto market witnessed altcoins making increased gains compared to Bitcoin [BTC] in recent weeks. This is a routine development when Bitcoin consolidates and altcoins catch up during a bullish market phase.
Source: Blockchain Center
However, routine altcoin rallies often last only days; a full altcoin season remains rare and requires sustained capital rotation.
The last clear altcoin season occurred late 2024, reflected by the altcoin index. At press time, the index reading was 61, the highest in 2025 so far.
Per the index methodology, an altcoin season is declared when 75% of the top 50 coins by market cap outperform Bitcoin over 90 days.
Why is the Crypto Fear and Greed Index important now?
Crypto Fear and Greed Index gauges market sentiment; current neutral readings indicate no extreme euphoria or panic. A neutral index (50) suggests there is upside room for markets, but it does not guarantee a swift rally or a confirmed altcoin season.
Source: Alternative.me
Although capital flows showed renewed interest in altcoins, volatility in Bitcoin since mid-July muted expectations. The index moved from 74 (greedy) last month to 50 (neutral) at press time.
Neutral sentiment implies the market is not overextended, which can be constructive for a measured move higher but does not substitute for confirming market breadth and sustained flows.
Source: BTC.D on TradingView
Analyst commentary has highlighted BTC.D falling below weekly support near 60% as a signal of rotation. CryptoQuant analyst Ibrahim identified the drop under 60% as a notable development. Independent reporting noted that a sustained break below 55.36% would strengthen the altcoin case.
Market participants should watch breadth metrics, volatility, and the Crypto Fear and Greed Index alongside BTC.D. A confirmed altcoin season typically requires sustained breadth (75% of top-50 outperformance over 90 days), not just short-lived spikes.
How should investors prepare for a possible altcoin season?
Prepare with risk management and selective positioning. Diversify exposure, size positions relative to risk tolerance, and prioritize projects with clear fundamentals and liquidity. Monitor BTC.D, the altcoin index, and sentiment indicators for confirmation before increasing exposure.
Frequently Asked Questions
When does an altcoin season officially start?
An altcoin season is commonly defined when 75% of the top 50 coins by market cap outperform Bitcoin over a 90-day period. Index readings below that threshold show rotation but not a confirmed altcoin season.
Can Bitcoin dominance reverse an altcoin season quickly?
Yes. Bitcoin rallies can reassert dominance and pull capital back from altcoins, ending or pausing an altcoin season. Watch for BTC.D rebounds above key levels as a risk signal for altcoins.
Summary
- Current status: Altcoin index at 61 in 2025—early signs of rotation but below 75 threshold.
- Sentiment: Crypto Fear and Greed Index neutral at 50, indicating measured market conditions.
- Action: Monitor BTC.D, breadth metrics and sentiment; prepare with risk-managed allocations for Q4 2025.
Conclusion
Altcoin season signals are emerging as Bitcoin Dominance softens and the altcoin index rises, but neutral sentiment and the need for sustained breadth mean confirmation is pending. Investors should remain selective, watch key levels, and position for a potential altcoin season in Q4 2025 while managing downside risk.
Author: COINOTAG
Published: 2025-08-29
Updated: 2025-08-29
