The altcoin season seems to be forming — just like it did in 2021. Here are the key seasonal indicators.
🔥 Indeed, there are recurring signals indicating that the altcoin season is starting to form — just like it did in 2021. Here are the key indicators supporting this scenario:
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📊 1. The Altcoin Season Index is rising.
- The Altcoin Season Index has surpassed 50 for the first time in 6 months, indicating a shift of capital from Bitcoin to altcoins.
- More than 49% of the top 50 altcoins outperformed Bitcoin in July, which is close to the official threshold for altcoin season.
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🚀 2. Strong performance from Ethereum and Solana.
- Ethereum increased by 55% in July, supported by ETF fund flows and growing institutional interest.
- Solana has broken the $200 barrier for the first time since February, with an increase in on-chain trading volume and new DeFi projects.
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📉 3. Decline in Bitcoin dominance (BTC.D)
- Bitcoin dominance has decreased by 6.1%, indicating that investors have started rotating capital towards smaller, riskier projects.
- The drop in USDT dominance to 3.21% may be the "strongest signal" of the start of the altcoin season, according to PlanD's analysis.
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🧠 4. Strong correlation with small-cap stocks in the United States.
- There is a close relationship between the performance of altcoins and the Russell 2000 small-cap stock index.
- The rise in the small business confidence index in America boosts the likelihood of continued momentum in alternative currencies.
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🎯 Summary:
Yes, the pattern is repeating — technical breakouts, institutional flows, and a decline in Bitcoin dominance all indicate that the altcoin season has already begun. Ignoring these signals could mean missing one of the strongest market rounds in 2025.