{"id":505,"date":"2025-03-19T15:32:25","date_gmt":"2025-03-19T15:32:25","guid":{"rendered":"https:\/\/investx.fr\/en\/?p=505"},"modified":"2025-03-19T14:08:39","modified_gmt":"2025-03-19T14:08:39","slug":"altseason-over-before-it-began","status":"publish","type":"post","link":"https:\/\/preprod.investx.fr\/en\/crypto-news\/altseason-over-before-it-began\/","title":{"rendered":"Has This Bull Run\u2019s Altseason Ended Sooner Than Expected ?"},"content":{"rendered":"\n

Bitcoin Dominance Holding Back Altcoin Surge<\/h2>\n\n\n\n

Bitcoin’s dominance (BTC.D)<\/strong> is a key indicator to monitor altcoin cycles. When BTC.D drops, it usually means investors are turning to altcoins during market volatility.<\/p>\n\n\n\n

\"BTC.D<\/figure>\n\n\n\n

However, despite macroeconomic concerns such as the upcoming Federal Reserve meeting and “reciprocal tariffs”<\/em> by Trump, Bitcoin’s dominance remains high. At the time of writing, it stood at 61.6%<\/strong>, slightly below its February peak of 64.3%.<\/p>\n\n\n\n

An interesting observation from the top gainers of the week revealed that 4 of them were medium to small-cap altcoins,<\/strong> indicating a shift towards riskier and cheaper options away from large-cap cryptocurrencies.<\/p>\n\n\n\n

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Stay up-to-date with the crypto market news<\/a><\/div>\n<\/div>\n\n\n\n

Bitcoin ETFs Impacting Capital Rotation<\/h2>\n\n\n\n

A key factor behind this cycle is the rise of Bitcoin ETFs.<\/strong> Just before Bitcoin hit its all-time high of $109,000<\/strong> in January, Bitcoin ETFs saw $1.078 billion inflows<\/strong>.<\/p>\n\n\n\n

Since then, millions have poured into these ETFs, locking up capital in BTC. This movement has delayed the typical altcoin season, especially as liquidity remains tight.<\/p>\n\n\n\n

End of Altseason ?<\/h2>\n\n\n\n

As of March 18, over 12.88 million<\/strong> digital assets were listed on CoinMarketCap, up from 11 million in February. This surge, driven primarily by memecoins<\/strong> and low-cap tokens, is scattering investors’ focus.<\/p>\n\n\n\n

While Bitcoin’s dominance remains strong, delaying the altcoin season, investors are turning to high-risk alternatives. Many tokens are now stuck with market caps ranging from $10,000 to $100,000,<\/strong> locking capital in short-term assets.<\/p>\n\n\n\n

This pressure is impacting major high-cap cryptocurrencies. For example, the ETH\/BTC pair, once robust, has now hit a five-year low.<\/p>\n\n\n\n

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8\/x If recession fears aren\u2019t stopping altcoins from pumping, what is? The answer is\u00a0liquidity conditions.

Right now,\u00a0liquidity remains tight due to three major factors:

1\ufe0f\u20e3The Fed is still shrinking its balance sheet\u00a0through Quantitative Tightening (QT).
2\ufe0f\u20e3The Reverse Repo\u2026<\/p>— VirtualBacon\ud83e\udd87\ud83d\udd0a (@VirtualBacon0x) March 12, 2025<\/a><\/blockquote>