The Altcoin Season Index has returned to its fundamental levels and reached the levels seen after the latest collapse in August 2024. The collapse was triggered by disruptions in cash and carry trading in Japan, which temporarily disrupted altcoin flows.

The supporting chart showed that the index has rebounded against the 16-20 range, similar to the major turning points in 2017 and 2020. These areas have historically indicated significant altseason rallies where altcoins outperformed Bitcoin across many metrics. With Bitcoin's dominance reaching a peak, the current situation reflects previous accumulation phases that led to increasing returns for altcoins.

This particularly occurs when Bitcoin's volatility begins to decrease. In past cycles, this trend often signals a capital shift towards riskier assets such as altcoins. #bitcoin #altcoin