"Crypto Economist Unveils Explanation of Altseason"
The cryptocurrency market is experiencing a transitional phase, potentially signaling the onset of an Altcoin Season. According to data from Swissblock Technologies and economist Henrik Zeberg, the Altcoin Season Index is currently at 38, indicating that roughly half of the top altcoins are outperforming Bitcoin over the past 90 days [1][4].
During this early phase, Bitcoin remains strong with prices above $118,000, and Ethereum is trading near $3,700 [1]. However, several altcoins, such as BNB, have reached new all-time highs, with BNB hitting $807, showcasing impressive risk-return profiles and sustained growth that surpasses Bitcoin's performance [3].
Analysts observe growing institutional interest through Ethereum ETFs inflows and crypto treasuries, alongside positive macroeconomic indicators like decreased market volatility (VIX index) and strong PMI data that support risk-on sentiment favorable to altcoins [3][4].
The decline in Bitcoin dominance, with a downtrend on the Bitcoin dominance chart, suggests that the market is turning its attention away from Bitcoin and toward other cryptocurrencies [2]. The rise in altcoin dominance is a classic signal of a shift in market focus from Bitcoin to other cryptocurrencies.
Notable altcoin waves have been observed on the chart, with notable ones occurring in March, October, and now July 2025. The chart also displays a number of prior waves, indicating a pattern that might be repeating [2].
Economist Henrik Zeberg would likely interpret this phase as an early altcoin season where investors start shifting attention from Bitcoin to altcoins amid improving market conditions. The current environment features:
- Bitcoin dominance easing, while total altcoin market capitalization grows [2].
- Around 49% of top 50 altcoins outperforming Bitcoin, showing significant but incomplete altcoin dominance [4].
- Macro factors influencing investor shifts from risk-off to risk-on modes, with inverse correlations observed between gold and Ethereum helping to time altcoin moves [4].
In summary, the altcoin market is outperforming Bitcoin in many sectors but has not yet entered a full-blown Altcoin Season. Market indicators suggest momentum is building, with altcoins gaining traction alongside sustained Bitcoin strength, creating a dynamic environment that may lead to more pronounced altcoin gains soon [1][4]. This aligns with expert views that altseason emerges in phases, starting with Bitcoin followed by Ethereum leading, and then broader altcoin outperformance [1].
Zeberg's point is that altcoins typically see the largest gains during genuine bull cycles, even though Bitcoin continues to be the foundation of cryptocurrency. The performance of leading altcoins indicates a potential broad altcoin rally.
For a more detailed definition of Altseason, please refer to this link: [1]
[1] https://t.co/nhigDsBh0Z [2] The chart displays a number of prior waves, with notable ones occurring in March, October, and now July 2025. [3] As of late July 2025, several altcoins, notably BNB, have reached new all-time highs with impressive risk-return profiles. [4] The Altcoin Season Index currently sits near 50, indicating that roughly half of the top altcoins are outperforming Bitcoin over the past 90 days.
- During the current transitional phase in the cryptocurrency market, known as Altcoin Season, roughly half of the top altcoins are outperforming Bitcoin over the past 90 days, according to data provided by Swissblock Technologies and economist Henrik Zeberg.
- Bitcoin, despite remaining strong with prices above $118,000, has shown easing dominance, while the total altcoin market capitalization is growing, indicating a shift in market focus.
- Several altcoins, such as BNB, have reached new all-time highs, showcasing impressive risk-return profiles and sustained growth that surpasses Bitcoin's performance.
- Experts observe a dynamic environment in the cryptocurrency market, where around 49% of top 50 altcoins are outperforming Bitcoin, making it a favorable environment for altcoins.
- Economist Henrik Zeberg interprets the current phase as an early altcoin season, where investors start shifting attention from Bitcoin to altcoins amid improving market conditions, potentially leading to more pronounced altcoin gains soon.
