Altcoin Season Index Rises 28% in July, Still Below 33

The Altcoin Season Index has remained at 32, indicating that the cryptocurrency market is still firmly in "Bitcoin Season." This index, tracked by CoinMarketCap, measures whether 75% of the top 50 altcoins have outperformed Bitcoin over the past 90 days. A score of 75 or above is required to declare the start of an "Altcoin Season." The current reading of 32 indicates that fewer than one-third of leading altcoins are currently beating Bitcoin, despite a slight recovery in altcoin activity in recent weeks.

The index has risen from a late June low of 25 to 32 by mid-July, displaying a small recovery in altcoin activity. However, this momentum has not been strong enough to signal a major market shift. Altcoins continue to trail behind Bitcoin, with no clear breakout visible at this stage. Historical data shows that the index reached a yearly high of 87 on December 4, 2024, marking an intense altcoin phase. The lowest point came on April 26, 2025, when the index dropped to 12, showing Bitcoin dominance.

Despite the low index reading, a technical pattern on the altcoin market chart is drawing significant attention. Analyst Merlijn The Trader highlighted a “double fakeout” pattern that was observed both in 2021 and again in 2025. In both instances, the market first broke below a key support level before sharply reversing to the upside. In 2021, this exact pattern preceded a massive breakout that pushed the altcoin market cap (excluding the top 10 coins) to over $260 billion. Currently, a similar setup is forming again. The altcoin market cap, which excludes the top assets, now stands near $232 billion. After two failed breakdowns below support, the chart is now showing a rising green candlestick, which suggests renewed bullish momentum.

Further commentary from analyst Syntax notes that the Altcoin Index, despite being low overall, has been at its highest level since February. According to his analysis, specific high-growth sectors are already attracting strong liquidity in anticipation of a broader rally. These include projects focused on DeFi, AI, Real World Assets (RWAs), and Yield-Bearing Strategies. The sectors to watch are those that have shown strong liquidity and growth potential, indicating that while the overall market may still be in "Bitcoin Season," there are signs of life in the altcoin space that could signal a shift in the near future.