Are altcoins outperforming Bitcoin?
Altcoins are gaining momentum against Bitcoin, per today’s CMC Altcoin Season Index reading of 48/100 (Neutral). Key drivers:
- BTC dominance 60.25% (−0.78 pts 24h) and CMC Altcoin Season Index 48/100 (Neutral) – Alts rally as Ethereum leads with 25.6% weekly gains.
- Ethereum ecosystem surges (+3.65% 24h) – zkEVM upgrades and RWA adoption fuel ETH, LINK (+26.85%), SHIB (+15.39%).
- Mid-cap rotation accelerates – Tokens like XTZ (+55%) and DUEL (+31%) spike on sector-specific catalysts.
1. BTC Dominance & Altcoin Season Index Shift
BTC dominance fell to 60.25% (−0.78 pts in 24h), while the Altcoin Season Index rose to 48/100 (+11.63% daily), signaling growing altcoin momentum. This reverses a 30-day trend where BTC dominance peaked at 63.99% (CoinMarketCap).
What this means: Capital is rotating from Bitcoin to alts, though not yet decisively – the index needs to clear 75/100 for confirmed “Altcoin Season.”
2. Ethereum’s Tech Upgrades Drive Rotation
Ethereum surged 25.6% weekly as its Pectra upgrade (Q4 2025) promises lower gas fees and validator yield boosts. Layer 2s like Arbitrum (+8% TVL to $45.43M) and ETH-based RWAs attracted $11M inflows this week (Binance News).
What this means: ETH’s leadership is pulling liquidity into smart contract platforms and DeFi alts.
3. Risk-On Sentiment Fuels Mid-Cap Moves
Gaming/AI tokens like DUEL (+31%) and QUBIC (+20%) outperformed, while Tezos’ Etherlink L2 saw 231% volume growth. Fear & Greed Index held at 68 (Greed), supporting speculative bets (CryptoFrontNews).
What this means: Traders are chasing high-beta alts despite Bitcoin’s $122K price stability.
Conclusion: Altcoins Rally – But Season Not Confirmed
While Ethereum and mid-caps lead, Bitcoin’s 60% dominance suggests the rotation remains early. Watch for the Altcoin Season Index crossing 75/100 and ETH/BTC breaking 0.038 (currently 0.0378). If ETF inflows to BTC resume, dominance could rebound sharply.
