Key Insights:
- Altcoin season may be starting as Bitcoin dominance begins dropping.
- Altcoin prices could soar by 500% on historical patterns of halvings.
- Trading volume blow-off tops indicate that retail returns to altcoins.
As August 2025 starts, crypto traders are buzzing about a potential shift in the market. Many are wondering if the long-awaited altcoin season is finally here. Bitcoin remains near its recent highs, but activity in altcoins is quickly heating up. Historically, this environment has been a setup for major altcoin rallies.
An altcoin season usually starts as soon as the Bitcoin dominance of the entire cryptocurrency market seems to slip. Such a transition typically causes an increase of the demand and cost of other cryptocurrencies. As there are a couple of technical indicators flashing and historical trends repeating, many consider that a strong surge of altcoins might soon happen.
Altcoin Season Historically Follows Bitcoin Halvings
A repeating pattern in the crypto market centers around Bitcoin halving events. Approximately 480 days after each halving, altcoins have historically gone parabolic. History of past cycles indicates overwhelming rallies during that time.
Bitcoin price rose by 9,171% in the year 2013 after halving. In 2017, the price rise reached 2,545% 4 years after. The next cycle, in 2021, brought a 543% rise. Now, some are projecting a potential 500% rally into late 2025 based on these historical trends.
According to several analysts, this cycle may be even more powerful for altcoins. The claim is that small investments in the right low-cap coins could grow significantly by September. These projections are drawing attention from both retail investors and institutions.
Flash Alerts Match 2017 And 2021 Patterns
A widely followed altseason signal has just triggered. This specific indicator has been accurate in previous cycles, flashing just before massive market-wide altcoin gains. It now shows 54 out of 59 components have aligned, signaling the possible start of another rally.
This configuration was repeated in 2017 and once more in 2021, and has jumped off to explosive altcoin rallies every time. The same context is happening this year, where the indicator is reappearing. The trend is associated with the overall altcoin market cap, creating a foundation resulting in a characteristic sudden breakout.
The graph indicates that when one invests in certain altcoins, such as Ether and Bitcoin, there is a possibility of making more money, roughly over $90,000 in a very short period. Although it is unclear how true this forecast is, the hype surrounding it is inspiring deep concern.
Bitcoin Dominance Decline Sparks Altcoin Optimism
Technical charts tracking Bitcoin’s dominance over the crypto market show a possible turning point. In both 2017 and 2021, Bitcoin dominance peaked in July before sharply falling. This marked the start of major altcoin surges.
Now, in July 2025, Bitcoin dominance has touched a similar trendline resistance. If the pattern holds, another altcoin season could follow. In previous cycles, this downtrend was accompanied by a rise in altcoin prices and volume.
The drop in dominance would typically mean that capital is moving towards other crypto tokens and assets like Ethereum, Solana, and smaller tokens. This inflow of capital tends to cause the altcoin market to rise erratically due to its movement to gain more profits.
Altcoin Volume Surging Across All Coins
One of the strongest signs of altcoin season is increased trading activity. Trading platform volumes have also shown a significant increase in several alternative cryptocurrencies in the last few weeks. Huge trading volume is one of the major requirements for a lasting rally.
Cardano, TRON, and Chainlink have increased liquidity. Even meme coins like DOGE and PEPE are getting more attention again, which is typically an indicator of a broader recovery for retailers. This trend is similar to the past altcoin booms
Ethereum, Solana, and XRP are also on top in the capital inflow indication. They will usually perform better than Bitcoin when the mood of investors turns to riskier investments. With this momentum, altcoins will potentially grow in the market in the next few weeks.
Disclaimer
This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.
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