The altcoin season is not "dead", but it is on pause or under pressure compared to Bitcoin and Ethereum.
Current phase: Bitcoin dominance
• BTC dominance is high (over 50%) → it means that a large part of the crypto capital is parked in Bitcoin.
• Altcoins suffer when BTC is in a bullish trend without sharing it.
• Institutional investors are focusing on "safe" assets (BTC, ETH), especially after ETFs and regulatory uncertainties.
Reasons why it seems that altcoins are "dead"
1. Low liquidity: many projects do not have adequate volumes for consistent movements.
2. Weak narratives: there are no longer strong memes, AI narratives, or GameFi as there were at the beginning of the cycle.
3. Too many clone projects: lack of innovation → many projects are copies or "cash grabs".
4. Regulations: the SEC and other authorities are targeting some altcoins as "securities".
But be careful: Altcoins are not finished
The real altseason usually comes after BTC consolidates or slows down.
Altcoins explode when investors want more risk for higher returns.
Some sectors are just loading at low visibility (e.g. Real World Assets - RWA, AI utility, layer 2).
Signals to monitor to understand if an Altseason will return
Signal What it means
BTC stops or corrects Investors seek more speculative alternatives
BTC Dominance drops Capital is distributed towards altcoins
ETH/BTC rises Ethereum starts to outperform BTC, a pro-altcoin signal
Strong narrative (e.g. AI, RWAs, tokenization) Attracts new liquidity to altcoins
No, altcoins are not dead. They are just in a phase of transition and natural selection. Useless projects or those without real value will disappear, but those with utility, technical solidity, or strong community will have their chance in the second half of the cycle.
