Repeating Historical Patterns in Altcoin Rallies

Generated by AI AgentCarina RivasReviewed byAInvest News Editorial Team
Wednesday, Nov 26, 2025 9:53 pm ET2min read
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Aime RobotAime Summary

- Cryptocurrency markets show cyclical altcoin rallies as

dominance declines and ETH/BTC ratio breaks above 250-day moving average.

- Historical patterns from 2017/2021 repeat with Bitcoin's 3% dominance drop and altcoin market cap doubling since April 2025.

- Altcoin Season Index nears 75% threshold as DeFi, cross-chain infrastructure, and modular blockchains drive capital rotation.

- Hyperliquid,

, Saros, Bitcoin Hyper, and Best Wallet Token emerge as top altcoins with TVL growth, institutional adoption, and innovative use cases.

The cryptocurrency market has long exhibited cyclical patterns, with altcoin rallies often emerging as Bitcoin's dominance wanes and investor sentiment shifts toward risk-on assets. Historical bull runs in 2017 and 2021 demonstrated a consistent narrative: as Bitcoin's market share declined, capital flowed into altcoins, particularly those with strong fundamentals in decentralized finance (DeFi), cross-chain infrastructure, and innovative use cases. Today, as we approach November 2025, similar indicators are aligning-Bitcoin dominance has dropped to 58.8% from 61.4% in early 2025, while the ETH/BTC ratio for the first time in over a year. These signals, coupled with a surge in altcoin market capitalization and sector-specific innovation, suggest the market is priming for another altcoin season.

Historical Parallels and Current Indicators

The 2017 and 2021 bull runs were preceded by Bitcoin's consolidation after major price surges,

in altcoins. During these periods, dominance fell from 85% to 37% in 2017 and from 70% to 40% in 2021 . The ETH/BTC ratio, a critical on-chain metric, acted as an early warning system, signaling capital rotation into and, by extension, the broader altcoin market. Today, the ETH/BTC ratio's recent breakout above its long-term trend line .

The Altcoin Season Index, which tracks the performance of the top 100 altcoins relative to Bitcoin over 90 days, in November 2025. This index defines altcoin season when 75% of the top 100 coins outperform Bitcoin-a threshold that appears increasingly attainable given the current momentum. Additionally, altcoin market capitalization , driven by growth in DeFi, NFT infrastructure, and modular blockchain projects.

Five Altcoins Poised for Outperformance

1. Hyperliquid (HYPE)

Hyperliquid has emerged as a dominant force in decentralized derivatives trading, with a total value locked (TVL) of over $5 billion as of Q4 2025

. The platform's HyperEVM and Unit layers have enhanced cross-asset trading and EVM compatibility, attracting both retail and institutional users. On-chain metrics reveal a 78% increase in active user wallets year-to-date, with daily volume in the HIP-3 ecosystem . Analysts project a potential rebound if HYPE reclaims key support levels at $30–$32, by larger players.

2. XRP (XRP)

Ripple's

Ledger continues to gain traction as a cross-border payment solution, with recent spot XRP ETF approvals signaling growing institutional interest . The token's market cap has surged due to its throughput advantages and cost efficiency compared to traditional systems like SWIFT. On-chain data indicates that XRP's use case in real-time settlements , particularly in emerging markets where transaction speed and low fees are critical.

3. Saros (SAROS)

Saros has expanded beyond spot trading into perpetuals and staking,

as of August 2025. Technical indicators like the RSI (55) and a bullish MACD crossover suggest short-term optimism, while the narrowing Bollinger Bands hint at impending volatility. The project's focus on dynamic liquidity markets from DeFi's ongoing evolution.

4. Bitcoin Hyper ($HYPER)

Positioned as a modular Bitcoin Layer 2 with SVM integration, Bitcoin Hyper aims to enable high-throughput execution for DeFi and NFTs

. The project raised $28.2 million in its presale, reflecting strong early conviction. Its architecture supports low-latency smart contracts, making it a high-conviction infrastructure play as Bitcoin's ecosystem expands .

5. Best Wallet Token ($BEST)

Best Wallet Token is gaining traction as a secure, multi-chain wallet with integrated presale discovery tools and a decentralized exchange (DEX) aggregator

. The token's price has surged on the back of a $16.8 million presale and a user base exceeding 500,000. Institutional-grade MPC security and the upcoming Best Card-offering crypto cashback- for capturing a significant share of the non-custodial wallet market.

Conclusion

The convergence of historical patterns and current on-chain metrics paints a compelling case for an altcoin-driven bull run in 2025. As Bitcoin dominance continues to trend downward and the ETH/BTC ratio solidifies its bullish breakout, investors are increasingly allocating capital to altcoins with robust fundamentals and clear use cases. Hyperliquid, XRP, Saros, Bitcoin Hyper, and Best Wallet Token represent a diversified basket of projects poised to capitalize on this shift, offering exposure to DeFi, cross-chain infrastructure, and modular blockchain innovation.