This infographic from Tokero outlines the four phases of a typical crypto market cycle, focusing on the rotation of capital within the ecosystem:
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Phase 1: Bitcoin
What Happens: Money flows into Bitcoin, causing price surges.
Overlap: Ethereum starts receiving money but struggles to keep up. Eventually, it begins to outperform Bitcoin.
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Phase 2: Ethereum 🧭 We are here
What Happens: Ethereum outperforms Bitcoin, sparking speculation about a "flippening" (ETH overtaking BTC in market cap).
Overlap: Capital starts moving into large-cap altcoins as big buy-ups begin.
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Phase 3: Large Caps
What Happens: Ethereum continues to outperform Bitcoin. Large-cap altcoins (like Solana, Cardano, etc.) begin parabolic growth.
Overlap: Continued capital inflow into large caps.
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Phase 4: Altseason
What Happens:
Large caps explode vertically.
Mid, low, and micro-cap altcoins start pumping.
The whole market feels euphoric and speculative.
Memes, utility tokens, and hype dominate.
Every coin seems to pump regardless of fundamentals — classic signs of a crypto mania phase.
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This cycle highlights how capital rotates from Bitcoin → Ethereum → Large Caps → Small Caps — often ending in a euphoric blow-off top (Altseason).
