Key Takeaways
Google searches for “altcoins” hit a five-year high as capital rotates from BTC. Charts echo 2017 and 2021 patterns, with the Altcoin Season Index climbing toward the breakout zone.
The crypto market rose 2.31% over the past 24 hours, lifting the total Market Cap to $4.11 trillion. Daily trading volume climbed 30.31% to $237.92 billion, according to CoinMarketCap.
The release of fresh U.S. CPI data triggered a market-wide rebound, with Bitcoin [BTC] reclaiming the $120,000 mark. Naturally, the biggest beneficiaries were altcoins.
Retail signals: Searches hit five-year highs
Retail interest appeared to be rotating toward altcoins.
In fact, Google Trends data showed global searches for “altcoins” hitting a five-year high, breaching the 50% mark.
Source: Google Trends
The surge follows months of subdued activity since the peaks in late December 2024 and early 2025. Having said that, traders are eyeing whether this could be the precursor to a sustained Altcoin Season.
Capital flow tilts toward altcoins
The total altcoin Market Cap touched a three-month high of $1.67 trillion, still trailing BTC’s $2.39 trillion. However, capital rotation is clearly underway.
As per Glassnode, Bitcoin Dominance fell from 65% to 59% in just two months.
Source: Glassnode
Meanwhile, the Altcoin Season Index climbed to 39, which was up from 34 yesterday and 29 a month ago. This meant it is edging closer to the 75 threshold often associated with a full Altseason.
Merlijn The Trader described the index’s latest move as a “bull flag” primed for a breakout, noting that a full rotation out of BTC into alts could trigger “explosive” moves.
Source: CoinMarketCap
Alts outperform! ETH leads the charge
Over the past 90 days, altcoins have outpaced BTC, with memecoins like BUILDon [B], MemeCore [M], Pudgy Penguins [PENGU], SPX6900 [SPX], and Conflux [CFX] posting standout gains.
Ethereum [ETH], the largest altcoin, surged 81% in that period versus BTC’s 17%. According to Polymarket, the odds of ETH hitting a new ATH by 31 August stood at 80%.
With the altcoin season taking shape, it is still unclear if the four-year cycles will repeat in 2025.
Will history rhyme with 2017 and 2021?
Historically, altcoin seasons have occurred in the following year after a Bitcoin halving. Altcoins seem to be shaping up for a similar rally seen in the years 2017 and 2021.
The index is slowly shifting while giving hints. Still, the altcoin season is in the early stages, with full explosion expected when more than 75 alts dominate BTC.
Source: Coinvo/X
Numerically, the total altcoin market cap was breaking above the December high per Trading View. A sustained stay above this level could mean the onset of an Altseason. Failure would invalidate the expectation.
Next: Decoding PUMP’s 16% breakout – Is a run to $0.0068 possible?
