Ethereum News Today: Institutions Bet Big on Altcoins as Bitcoin's Grip Slips

Bitcoin's dominance in the cryptocurrency market has dipped to 60.2% as of October 2025, marking a significant shift in capital allocation toward altcoins and signaling the potential onset of an altcoin season Bitcoin poised for breakout as market rotations signal altcoin pause^[1]. This decline, the steepest weekly drop in BTC's market share since mid-2024, reflects growing investor interest in Ethereum (ETH), Solana (SOL), and other Layer 1 protocols, which have collectively captured 71% of $100 billion in futures trading volume Altcoin Season Back? ETH’s Move Says It Is Better This …^[2]. Ethereum, in particular, has surged 19.45% to $3,800, while Solana has broken above $200 and XRP has rallied 21.4% to $3.52, underscoring a broad-based rotation into high-growth altcoins Altcoins Cycle 2025: TOTAL3 Breakout Hints at …^[3].

Technical indicators reinforce this trend. Bitcoin dominance (BTC.D) has consolidated within a bullish cloud pattern, with analysts projecting a mid-November peak near 61% before a potential pullback. This would create conditions for an altcoin season lasting into mid-December, as capital flows into Ethereum, Solana, and "Others" dominance metrics Bitcoin poised for breakout as market rotations signal altcoin pause^[1]. Ethereum dominance (ETH.D) and Solana dominance (SOL.D) remain bearish, while the "Others" category has printed three daily bullish close signals, highlighting Bitcoin's waning control over the altcoin market Bitcoin poised for breakout as market rotations signal altcoin pause^[1]. Meanwhile, the ETH/BTC ratio has risen from 0.018 to 0.031, the highest level since January 2025, as Ethereum outperforms Bitcoin in spot trading volume for the first time in over a year .

Institutional adoption is a key driver of this shift. Ethereum ETFs have recorded 15 consecutive days of inflows, while Bitcoin ETFs have seen consistent outflows, reflecting a reallocation of capital toward altcoins . A $175 million institutional investment in Ethereum and the launch of a Solana staking ETF with $100 million in assets under management further underscore growing confidence in altcoins . Regulatory clarity has also played a role, with the U.S. passing the GENIUS Act in July 2025, which provided a framework for stablecoin oversight and spurred liquidity in DeFi and altcoin markets .

Historical patterns suggest a prolonged altcoin rally is emerging. Bitcoin's dominance has declined by 0.8% in recent weeks, mirroring the 2017–2021 cycles where BTC's consolidation allowed altcoins to outperform. During these periods, Ethereum and XRP achieved gains of 1,000% and 384%, respectively Altcoins Cycle 2025: TOTAL3 Breakout Hints at …^[3]. Current conditions align with these precedents, as the Altcoin Season Index has surged to 39-the highest since February 2025-though it remains below the 75 threshold needed to confirm a full-blown altseason Altcoin Season Back? ETH’s Move Says It Is Better This …^[2].

Risks, however, persist. Ethereum's Relative Strength Index (RSI) at 76.88 indicates overbought conditions, raising the possibility of a pullback to $3,500 . Solana's parabolic rally could also face correction if momentum wanes. Regulatory uncertainty, including delays in ETF approvals and potential macroeconomic headwinds from Federal Reserve rate hikes, adds volatility to the market .

Investors are advised to adopt a strategic approach. Buying on dips in Ethereum, Solana, and XRP with stop-loss orders, staking Ethereum for 4–6% annual yields, and diversifying into stablecoins via DeFi platforms are recommended strategies . Monitoring on-chain metrics, such as the ETH/BTC ratio and Bitcoin dominance trends, is critical to navigating the evolving landscape Bitcoin poised for breakout as market rotations signal altcoin pause^[1].

As Bitcoin stabilizes near $120,000 and institutional capital flows into altcoins, the market appears poised for a sustained shift. If Bitcoin dominance continues its decline and Ethereum maintains its upward trajectory, the broader altcoin market could see returns of 100–300% by mid-2026, driven by regulatory clarity, DeFi expansion, and renewed investor appetite for high-growth assets .