Bitcoin dominance has risen back to 59.6%, and our Bitcoin–Altcoin Rotation Model has switched back to Bitcoin. Many investors will see this as the end of altcoin season, but are our other indicators confirming it? Three months ago, only 14% of tokens traded above their 200-day moving average. Today it is 78%. The correlation between altcoins and Bitcoin has also stayed below 60% for six months, the longest period in three years.
At the same time, investors are selling meme tokens and older Ethereum DeFi names, but what are they buying instead? Where is the money rotating into? In this report, we look at which indicators still favor altcoins, which are starting to send warning signals, and which levels would make us more cautious.
Bitcoin dominance (LHS) vs. Crypto Market Cap (RHS, $trn)
