Altcoin Season Index Falls to 22, Signals Bitcoin Season
The Altcoin Season Index has dropped to 22, down four points in a single day. This low reading confirms the market is in a pronounced Bitcoin Season. The Altcoin Season Index tracks the 90-day performance of the top 100 cryptocurrencies (excluding stablecoins and wrapped tokens) against BTC. A score below 25 indicates Bitcoin’s dominance over altcoins.
During Bitcoin Season, investors often shift capital from altcoins into Bitcoin. Key drivers include institutional adoption, halving cycles and a “flight to safety” narrative. Conversely, Altcoin Season begins when BTC consolidates and capital rotates into altcoins, fueled by new narratives, Ethereum upgrades and retail interest.
Strategic investing requires adapting to these cycles. In a Bitcoin Season, focus on accumulating BTC and stablecoins. When the Altcoin Season Index rises, selectively rotate profits into high-potential altcoins. Understanding these crypto market trends helps optimize timing and risk management.
Neutral
This update on the Altcoin Season Index is primarily informational. It confirms that Bitcoin is currently absorbing market liquidity, but it does not forecast a significant price surge or decline on its own. Similar past readings have signaled consolidation phases rather than outright bull or bear markets. In the short term, traders may see reduced altcoin volatility and a steady BTC trend. Long term, once the index reverses, capital rotation could drive altcoin rallies. Overall, this index reading warrants a neutral stance, guiding portfolio allocation without predicting immediate market direction.