Bloomberg Analyst Declares Official Start of Altcoin Season
Bloomberg ETF analyst James Seyffart says the altcoin season is officially underway. He notes corporate treasuries and institutional capital are driving this shift. Institutional capital and ETF momentum support the altcoin season narrative. Digital Asset Treasury Companies like Bitmine and BNB Network have boosted holdings. Bitmine added $167 million in ETH. BNB Network lifted BNB reserves by $33 million to 388,888 BNB, becoming the largest corporate holder.
Seyffart expects multi-asset altcoin ETFs to draw more inflows than single-asset funds. A pipeline of SEC applications now covers DOGE, LINK, XLM, BCH, AVAX, LTC, SHIB, DOT, SOL and HBAR. These basket-style products could reshape the market.
Bitcoin dominance has fallen from 62% to 55%. This drop in Bitcoin dominance highlights market rotation into altcoins. Historically, dominance below 40% has preceded strong altcoin rallies.
On the weekly TOTAL3 chart (crypto market cap excluding BTC and ETH), price is caught between rising support and resistance at $1.15 trillion. A breakout above this level could push altcoin market cap to $1.35 trillion. Failure to hold near $1 trillion risks a pullback to $930–950 billion.
In summary, Seyffart sees a structural shift. Institutional investors prefer diversified exposure. This change, along with ETF momentum and falling Bitcoin dominance, marks the start of a new altcoin season.
Bullish
James Seyffart’s analysis suggests strong bullish momentum for altcoins. Corporate treasuries and institutional capital are driving significant on-chain demand. Major players like Bitmine and BNB Network have made large ETH and BNB purchases, underlining deep-pocketed involvement. Meanwhile, a slate of multi-asset altcoin ETFs awaits SEC approval, promising new institutional inflows.
The fall in Bitcoin dominance from 62% to 55% indicates a shift of capital into higher-risk altcoins such as ETH and SOL. Historically, similar dominance declines preceded explosive altcoin rallies during 2017 and 2021. Furthermore, the TOTAL3 chart shows a tightening price structure. A breakout above $1.15 trillion total market cap could trigger a swift move to $1.35 trillion.
In the short term, traders may see increased volatility around ETF news and trendline tests, offering trading opportunities. Over the long term, diversified institutional interest through basket-style ETFs and sustained capital rotation may support a prolonged altcoin bull run. Therefore, the outlook is bullish for the altcoin sector.