• On-chain data shows the Altcoin Season Index has more room for growth.
  • Upcoming US Presidential elections could fuel a parabolic move for altcoins.
  • A crypto analyst projects the similarity of the 2017 and 2021 alt seasons with the ongoing cycle.

 

Altcoin season is when cryptocurrencies other than Bitcoin see substantial price increases. On-chain data indicate that the Altcoin Season Index has further potential for growth. With the upcoming US Presidential elections and insights from crypto analyst Moustache, the current cycle could echo the altcoin seasons of 2017 and 2021, possibly leading to a parabolic move for altcoins.

Furthermore, Santiment data shows that the price of Bitcoin and most altcoins rose following Wednesday's 50 basis point rate cut by the US Federal Reserve (Fed).

Santiments' chart

 

On-chain metrics show too early for Altseason

Blockchaincenter.net’s Altcoin Season index chart shows whether it is Altcoin season or Bitcoin season. If the index is below 25, it suggests that Bitcoin performs well compared to altcoins (money flows into Bitcoin from altcoins). However, if the index is above 75, it suggests that altcoins perform better than Bitcoin (money flows into altcoins from Bitcoin).

The index stands at 33, indicating that altcoins have more room for growth. Investors still prefer to invest their money in Bitcoin or hold it rather than transferring it to altcoins.

Altcoin Season index chart

Altcoin Season index chart

The Top 50 performance analysis over the last 90 days shows that a few altcoins like AAVE, SUI, and TRX have risen above 20%. However, most other top altcoins are still under the woods. This shows more room for growth, and the altcoin season is yet to come.

Top 50 Performance chart

Top 50 Performance chart

 

Upcoming US elections

Crypto assets generally follow a four-year cycle:

  1. A bull phase around a year.
  2. A significant bear market lasts for a year.
  3. A two-year recovery phase. 

The chart below shows that the 2022 bear phase followed the 2021 bull phase. 

Crypto cycles chart

Crypto cycles chart

The recovery phase of the crypto market cycle started in 2023 and could last till 2024, which often coincides with “altseason,” where altcoins (everything except Bitcoin) experience significant surges in price. 

This year, the timing aligns with Bitcoin’s fourth halving in April and the US Federal Reserve interest rate cut of 50 basis points (bps) in September, which is generally positive for risky assets like cryptocurrencies. 

Moreover, the upcoming US Presidential elections will be held in November. Unlike the previous elections, the candidates in this election are not side-viewing cryptocurrency. They are discussing cryptocurrencies in their campaigns and possibly fueling a parabolic move in the crypto market.

 

Technical Analysis of Altcoin 

Moustache, a crypto analyst, posted on Twitter, “We’re all not bullish enough. Cycles repeat themselves.” 

Historically, the 2017 altcoin chart shows two curves before the parabolic move to the upside, and currently, the altcoin chart projects a similar move, which could lead to a sharp rise in 2025.

 


Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended Content

Editors’ Picks

Top 3 gainers Supra, Cosmos Hub, EOS: Supra leads recovery after Trump’s tariffs announcement

Top 3 gainers Supra, Cosmos Hub, EOS: Supra leads recovery after Trump’s tariffs announcement

Supra’s 25% surge on Friday calls attention to lesser-known cryptocurrencies as Bitcoin, Ethereum and XRP struggle. Cosmos Hub remains range-bound while bulls focus on a potential inverse head-and-shoulders pattern breakout.

More Cryptocurrencies News
Bitcoin Weekly Forecast: Tariff ‘Liberation Day’ sparks liquidation in crypto market

Bitcoin Weekly Forecast: Tariff ‘Liberation Day’ sparks liquidation in crypto market

Bitcoin price remains under selling pressure around $82,000 on Friday after failing to close above key resistance earlier this week. Donald Trump’s tariff announcement on Wednesday swept $200 billion from total crypto market capitalization and triggered a wave of liquidations.

More Bitcoin News
Can Maker break $1,450 hurdle as whales launch buying spree?

Can Maker break $1,450 hurdle as whales launch buying spree?

Maker is back above $1,300 on Friday after extending its lower leg to $1,231 the previous day. MKR’s rebound has erased the drawdown that followed United States President Donald Trump’s ‘Liberaton Day’ tariffs on Wednesday, which targeted 100 countries.

More Maker News
Gold shines in Q1 while Bitcoin stumbles

Gold shines in Q1 while Bitcoin stumbles

Gold gains nearly 20%, reaching a peak of $3,167, while Bitcoin nosedives nearly 12%, reaching a low of $76,606, in Q1 2025. In Q1, the World Gold ETF's net inflows totalled 155 tonnes, while the Bitcoin spot ETF showed a net inflow of near $1 billion.

More Bitcoin News
Bitcoin Weekly Forecast: Tariff ‘Liberation Day’ sparks liquidation in crypto market

Bitcoin Weekly Forecast: Tariff ‘Liberation Day’ sparks liquidation in crypto market

Bitcoin (BTC) price remains under selling pressure and trades near $84,000 when writing on Friday after a rejection from a key resistance level earlier this week.

Read full analysis
The Best brokers to trade EUR/USD

The Best brokers to trade EUR/USD

SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.

Read More

BTC

ETH

XRP