The recent rise in the value of altcoins has attracted much attention amongst investors. In the past years, cryptocurrencies has broadened its horizons and became more popular than ever, not only for investment purposes but also, for example, as a means of payment for actual purchases and as a means of depositing money for crypto bookmakers, which is especially popular in Japan, a hot topic in recent years.
Since the beginning of 2024, 20 of the top 50 cryptoassets in terms of market cap have risen 124% of Bitcoin, and according to a recent CCData report, trading volume in cryptoassets in November 2024, was the highest for the year.
In the crypto market, such a period of time when altcoin consistently outperforms bitcoin is known as “altcoin season”, which is said to occur every few years. By November 2024, bitcoin’s share of the crypto asset market had dropped from 60% to 51% and the decline in bitcoin’s dominance is taken by many traders and investors as a sign that the market is expected to enter an altcoin season in 2025 and beyond.
The first altcoin season was seen in 2017 and the second in 2021, and given that the interval at which the phenomenon occurs is four years, it makes sense to expect a new altcoin season in 2025. The actual start of the altcoin season is defined by the Altcoin Season Index proposed by the Blockchain Center, where it is valid to recognize that an altcoin season has started when 75% or more of the top 50 altcoins have outperformed bitcoin in the past 90 days.
This is an opportunity that crypto asset traders cannot afford to miss, as each altcoin shows even higher volatility than usual during this period, and the potential for significant gains is there.
Lynn Martelli is an editor at Readability. She received her MFA in Creative Writing from Antioch University and has worked as an editor for over 10 years. Lynn has edited a wide variety of books, including fiction, non-fiction, memoirs, and more. In her free time, Lynn enjoys reading, writing, and spending time with her family and friends.
