Sygnum Predicts Potential Altseason in Q3 2025 as Bitcoin Dominance Declines
According to Sygnum’s Q3 2025 Investment Outlook, the long-anticipated altcoin season might finally be approaching. The digital asset bank highlights several key factors pointing to a shift in market dynamics — including declining Bitcoin dominance, increasing market liquidity, and growing regulatory clarity, particularly around staking.
Capital Flowing Toward Altcoins
Sygnum suggests that as regulations around staking become clearer and liquidity continues to enter the market, investors may begin rotating capital away from Bitcoin into altcoins. This could mark the beginning of a strong performance cycle for alternative cryptocurrencies.
Bitcoin’s Market Share Weakens
After peaking at its highest market dominance since 2021, Bitcoin’s share has dropped by over 6%, signaling a potential momentum shift in the broader crypto market.
Ethereum and DeFi Take Center Stage
Sygnum also notes that Ethereum and the DeFi sector are playing a leading role in this shift. With strong demand for ETH staking, rising ETF inflows, and expanding DeFi activity, structural interest in altcoins appears to be growing steadily.
From Bitcoin to Broader Crypto Ecosystem
While earlier in the year, macroeconomic concerns such as geopolitical tensions and U.S. fiscal instability led to a sharp sell-off in altcoins, the landscape is now changing. With more favorable conditions emerging, Sygnum believes the stage may be set for altcoins to outperform in the coming months.
