Has the Altcoin Season Started? Looking at the Altcoin Index

Altcoins have always had periods where they briefly outshine Bitcoin, and these moments are often called “altcoin seasons.” But how can we objectively tell when such a season is happening? That’s where the Altcoin Season Index comes in. As of now, the index sits at 39. 

Since an altcoin season is usually confirmed when the index crosses 75, we are not there yet. Let’s explore what this means and how you can prepare using tools like Bitrue Alpha.

What Is the Altcoin Season Index and How Is It Calculated?

The Altcoin Season Index is a metric that helps investors understand whether altcoins are currently outperforming Bitcoin. It simplifies market performance into a single number between 0 and 100. 

A reading above 75 generally indicates an altcoin season, while a number below 25 suggests Bitcoin is dominating the market. Anything in between reflects a mixed or transitioning phase.

The calculation of the index involves several market indicators. First, it compares how the top 50 altcoins by market cap have performed against Bitcoin over the past 90 days. 

If at least 75% of these altcoins outperform Bitcoin, it is considered an altcoin season. This gives a fairly objective view of whether capital is flowing away from Bitcoin into altcoins.

Another factor is Bitcoin Dominance. When Bitcoin Dominance drops, it often means traders are moving funds into altcoins. This shift tends to coincide with stronger price performance in altcoins. 

Trading volume and volatility also play a role. When altcoins are more volatile and actively traded than Bitcoin, it can push the index higher.

The current reading of 39 suggests that although some altcoins have outperformed Bitcoin, the majority have not. 

We are in a mixed phase, where Bitcoin still holds a strong position in the market. This makes the index useful not just for spotting trends, but also for timing market entries and exits.

Read also: Altcoin Season Happens in August or September

What Does a 39 Reading Mean for Investors?

With the Altcoin Season Index currently at 39, we are clearly not in an altcoin season yet. This suggests that altcoins, in general, are not outperforming Bitcoin. 

For investors, this information can be useful in deciding how to allocate capital. It may not be the best time to go all-in on altcoins, but it could be a moment to identify promising projects that are beginning to gain traction.

Historically, altcoin seasons occur when Bitcoin’s price stabilises or enters a correction phase. Traders start seeking higher returns elsewhere, and altcoins tend to benefit from this shift. 

However, during periods when Bitcoin dominates, altcoins often struggle to attract attention or capital.

A reading of 39 signals a market that is uncertain or transitioning. This creates both risks and opportunities. 

On one hand, jumping too early into altcoins could lead to underperformance. On the other, it might allow early positioning in assets that could benefit if a full altcoin season begins.

For those tracking the market actively, tools like Bitrue Alpha can help spot emerging trends. Bitrue Alpha offers early access to new token listings, often before they appear on larger exchanges. 

This gives investors a head start in exploring potential altcoin opportunities. If you’re considering diversification or strategic entries, keeping an eye on this index and using platforms that support altcoin discovery is essential.

Read also: Altseason Signal Reappears: Is the Crypto Rally Back On?

How to Use This Information to Trade More Effectively

Knowing the index level is one thing, but applying it to real trading decisions is what matters most. 

When the Altcoin Season Index is below 50, it often means Bitcoin is outperforming, and many traders prefer to hold BTC for stability. However, a reading like 39 also means that some altcoins are quietly gaining ground.

In this environment, traders might consider a balanced approach. Holding a core Bitcoin position while allocating a smaller portion to high-quality altcoins can help manage risk while maintaining upside potential. 

The key is to focus on altcoins that are already showing strong performance or volume growth, even while the overall market lags.

Bitrue Alpha can be a valuable platform in this context. It provides early access to altcoin listings, giving users an advantage when it comes to discovering new tokens. 

With its transparent trading interface and competitive fees, Bitrue makes it easier to explore and trade altcoins before the wider market catches on.

Timing is also important. Altcoin seasons do not begin suddenly. The index usually trends upwards over weeks. Watching for sustained movement above 50 can help signal the start of an altcoin rotation. 

Traders can prepare by monitoring volume, social sentiment, and technical setups across several promising tokens.

If the index continues to rise, this may trigger broader interest and greater liquidity in the altcoin market. Preparing in advance, using reliable platforms like Bitrue, and focusing on coins with growing ecosystems can lead to better outcomes than reacting late.

Read also: Begecoin Listed on Bitrue Alpha, Learn How to Buy BEGE

Conclusion

The current Altcoin Season Index reading of 39 suggests that we are not yet in a full altcoin season. While some altcoins are beginning to perform, the broader market still leans toward Bitcoin dominance. 

Investors should remain cautious but stay alert for changes. Using platforms like Bitrue and Bitrue Alpha can provide early access to new tokens and a safer way to explore crypto trading opportunities. As always, monitor the data closely and adjust your strategy accordingly.

Read also: Is Bitrue Alpha Worth It? Give it A Try Now

Frequently Asked Questions

What is the Altcoin Season Index?

It is a number between 0 and 100 that shows whether altcoins are outperforming Bitcoin. A reading above 75 signals an altcoin season.

Why is the current reading of 39 important?

A reading of 39 means altcoins are not yet outperforming Bitcoin in general, so we are not in an altcoin season.

How is the index calculated?

It looks at whether 75% of the top 50 altcoins have outperformed Bitcoin over the last 90 days, along with other factors like volume and market dominance.

What should I do when the index is low?

You may consider focusing more on Bitcoin or only investing in altcoins that show strong signs of growth or volume.

Where can I trade altcoins easily?

You can trade altcoins using Bitrue and Bitrue Alpha. Bitrue Alpha lets you discover and buy tokens early, often before they appear on major platforms.

Investor Caution 

While the crypto hype has been exciting, remember that the crypto space can be volatile. Always conduct your research, assess your risk tolerance, and consider the long-term potential of any investment.

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