alt season is back? Signals from the market amid the uptrend of Bitcoin

The strong recovery at the beginning of Q2/2025 has marked an impressive comeback of some selective altcoins, recording growth from two to three digits as Bitcoin (BTC) surged from the 74,000 USD mark to over 100,000 USD.

As of now, when BTC sets a new peak above 111,000 USD, veteran whale trader on the Hyperliquid platform – James Wynn – suggests that a new, broader altcoin season may soon begin.

"I believe that when Bitcoin reaches its peak in the range of 118,000 – 122,000 USD, the market will enter a correction phase and go sideways – and it is precisely at that moment that everything will become extremely interesting: The altcoin season officially begins."

It is known that Wynn has recently opened a long position of BTC worth 800 million USD on Hyperliquid, while predicting that the peak price of this cryptocurrency may appear within the next week.

If this scenario becomes a reality, the altcoin season is likely to kick off in June.

Early signals from the altcoin market

Some initial signals are suggesting that an altcoin season is forming, especially after the dominance rate of Tether (USDT.D) recorded a slight decrease.

This is seen as a sign of improving liquidity in the market, as investors begin to allocate capital from USDT to potential altcoins.

The dominance of USDT over Altcoin market capitalization | Source: TradingView Notably, recent chart data suggests that the recovery in April could be seen as the third altcoin season in this cycle – although the pace is slow and mainly focused on certain coins.

At each stage, the decline in the dominance rate of USDT ( is reflected in the red line ), which coincides with the growth of the altcoin market (TOTAL3 – excluding BTC and ETH ), indicated by the green arrows.

In the second quarter of 2025 alone, the market capitalization of altcoin has increased by 200 billion USD, corresponding to a decrease in USDT.D from 6% to 4.3%.

! 'Altcoin Season:' Hyperliquid Whale Prediction as Bitcoin Approaches $120,000BTC Dominance Against Crypto Market Cap | Source: TradingViewHowever, since mid-May, BTC's dominance rate (BTC. D) rose sharply to nearly 64%, causing the altcoin's rally to temporarily slow down. For Wynn's scenario to be possible, this dominance needs to continue to decline.

ETH and technical indicators are supporting the altcoin trend

Another important indicator – the ETH/BTC ratio – is also showing positive signs for the altcoin market. Chris Burniske, a partner at the venture capital fund Placeholder, stated:

"If ETH continues to gain momentum against BTC, the altcoin season will arrive. I hope your portfolios will all 'moon' during this period."

This rate has increased by up to 40% recently, indicating that ETH is outperforming BTC – a potential bullish signal for altcoins. If this trend continues, the possibility of a broad strong growth becomes even more evident.

However, crypto market analyst Cred warns that not all capital from BTC will flow into altcoins. He recommends that investors focus on coins with strong fundamentals and long-term potential.

In fact, some major altcoins like Solana (SOL) are approaching and may surpass the important resistance level – the 200-day moving average (SMA) – further reinforcing expectations for a subsequent rally.

Nevertheless, the altcoin season index is still at a low level - 20 points - reflecting that the market is still in a Bitcoin dominance phase.

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