Altcoin Season Alert: This Key Signal Predicts a Major August Breakout
Crypto traders, buckle up—the altcoin pumps are coming. A rarely seen technical indicator just flashed its most bullish signal since 2021, and history says August could deliver triple-digit gains for selective altcoins.
Market cycles don’t lie. When Bitcoin dominance dips below 40% while Ethereum’s gas fees crater, capital floods into altcoins like clockwork. This time? The setup’s even more extreme—stablecoin reserves on exchanges just hit a 15-month low, meaning dry powder is primed for deployment.
Smart money’s already rotating. While Wall Street vacations in the Hamptons, degenerate traders are front-running the retail FOMO. Meme coins might moon, but the real gains will come from protocols shipping actual utility (yes, they exist).
One hedge fund manager quipped: 'Altseason’s the only time crypto 'fundamentals' matter less than a TikTok trend.' Truth hurts. But when the music’s playing, even the SEC can’t stop the dance.
While Bitcoin recently broke above the $120,000 mark, its momentum has slowed down. Altcoins are finally showing signs of life, and this time, it looks real. Prices are rising fast, trading volumes are exploding, and market behavior is changing.
According to data from CryptoQuant, we might be stepping into a true altcoin season, but not the kind most people saw coming.
Ethereum Leads the Altcoin Rally
This altcoin rally seems to have been triggered by SharpLink’s massive $1.3 billion investment into Ethereum, as highlighted by CryptoQuant. The firm now holds 438,190 ETH, giving a strong push to market confidence.
Meanwhile, ethereum has jumped 170% from its recent lows and is now just 23% away from its all-time high of $4,871. And ETH’s strong recovery has sparked similar moves across several other altcoins.
Shifting Futures trading Volume
On the other hand, CryptoQuant’s data also shows a big shift in trader behavior. Futures trading volume for Ethereum and other altcoins has reached $223.6 billion, the highest in five months.
This means that altcoins and Ethereum now make up 83% of total futures volume, while bitcoin is down to just 17%.
Retail Investors Are Losing Interest in Bitcoin
Further CryptoQuant data shows a drop in Bitcoin demand from retail investors over the last 30 days. Normally, when Bitcoin grabs attention, altcoins follow.
CryptoQuant’s data shows a 9.7% rise in Bitcoin transactions under $10K, a pattern often seen before major altcoin rallies.
Bitcoin Dominance Falling, Altcoins Rising
As Bitcoin dominance has dropped nearly 7% in recent weeks, more traders are now shifting their focus to altcoins. CryptoQuant also points out that only 23 out of 424 Binance futures pairs turned negative after Bitcoin hit new highs, meaning most altcoins are gaining strength.
Put all this together, weak Bitcoin retail demand, low altcoin volume, and quiet futures markets, and it looks like the market is preparing for a change.
If history repeats, altcoin season might not be loud at the start.
