Altcoins Explode: Hidden Gems Emerge as Crypto Markets Enter New Phase

Market tides are turning—and altcoins are riding the wave. Forget 'slow and steady.' This is crypto's next act.

Small caps, big moves

While Bitcoin chugs along like a blue-chip stock, altcoins are pulling off 3x moves before breakfast. Ethereum killers? More like ETH rent-collectors. Layer 2 tokens now do more volume than some national banks (with better uptime).

The smart money shuffle

VCs aren't just dumping bags anymore—they're building exit liquidity disguised as 'ecosystem funds.' Meanwhile, degens front-run announcements so fast they'd make HFT traders blush.

Regulatory whiplash? Bullish.

SEC lawsuits now trigger 20% rallies instead of panic sells. Nothing says 'adoption' like politicians creating artificial scarcity by banning the wrong coins.

Close: The market's voting with its wallet—and the verdict is clear. Altseason isn't coming. It's already here. (Just don't tell the 'diversified' portfolio managers still underperforming BTC.)

$118,884 has surged back to 119,000 dollars, while ETH surpassed 3,100 dollars. Despite developments such as high CPI, increasing threats related to tariffs, and the postponement of the crypto week, altcoin investors continue to reap gains. However, what are the five major signs of an altcoin bull run?

ContentsETH’s Ascension PathIndicators of a Bull Market

ETH’s Ascension Path

With the ETH price once again rising above 3,100 dollars, it seems on track towards 4,000 dollars, a trend seen repeatedly in the past. There are other signs as well. In the realm of cryptocurrencies, the standard rule is to buy low and sell high, and those who purchased during dips are now anticipating true peaks to sell. The continuous opportunity to buy at lower prices and the exhaustion from prolonged losses present challenges in crypto.

DaanCrypto suggests that the conditions for a genuine altcoin bull run have matured to an unparalleled extent in the past two years. While certainty is challenging, five different rationales support this perspective.

Indicators of a Bull Market

ETH is gaining against BTC, reclaiming the bull market support band. Full confirmation of this requires a weekly close above 0.026BTC.

“Historically, ETH has always led in the superior performance of altcoins market-wide. To those who constantly correct me and say ETH is not important and SOL should be watched, I say: SOL experienced a tremendous rise in this cycle while most altcoins didn’t. This, I think, unequivocally shows that there is no market-wide indicator of altcoin strength. ETH is such an indicator.” – DaanCrypto

Bitcoin dominance has begun to decline, but confirming a trend reversal still requires progress. If we see more recovery in altcoins while Bitcoin remains strong, we might talk about a trend reversal in BTCD as well.

The risk-reward ratio for BTC, now reaching 120,000 dollars, is diminishing. Even a 100% gain from BTC WOULD require a bold target like 240,000 dollars. However, the altcoins, which have not yet started to rally while BTC remains strong, offer much more potential. This could lead investors to conclude it’s more logical to take risks in altcoins now that profit potentials with BTC have decreased. This situation promises an altcoin bull run if BTC remains around 120,000 dollars.

Certain categories possess higher advantages in the current process. Analysts believe the environment is suitable for starting gain series in specific sectors. The number of crypto projects has become inflationary over the last two years. Thus, there are numerous alternatives to distribute capital. However, crypto regulations and categories like DeFi and institutional partnerships followed by RWA may attract positive distinct liquidity tied to news flow.

For most of the year, the BTC/altcoin ratio was 80/20 for analysts. Many investors also allocated most of their portfolio to BTC. If the strengthening continues, part of the liquidity in BTC is likely to shift to high-potential altcoins. We may see this accelerate with altcoin ETF approvals.

“My BTC/altcoin ratio was 80/20 for most of the year. If the strengthening continues, I’ll start shifting part of BTC to high-potential altcoins and aim for a 50/50 ratio for the rest of 2025. This is a comfortable ratio for me. Depending on your perspective and risk appetite, you may choose a completely different path. I made a pact with myself: I’ll never let my BTC allocation fall below 50%. I think it’s already a low figure. As always, we’ll see how it turns out. Keep following and avoid sticking with long-term underperforming assets. My advice is to stay loyal to the strong and winning ones.”

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