Bitcoin’s dominance in the cryptocurrency market has taken a noticeable dip this month, feeding speculation that June 2025 could usher in a vibrant altcoin season. According to João Wedson, CEO and founder of the crypto data analysis platform Alphractal, the stage is set for alternative cryptocurrencies to capture a larger slice of the market pie, potentially drawing from Bitcoin’s substantial $2 trillion market cap.
Shifting Tides in the Crypto Market
In recent weeks, Bitcoin’s dominance rate—a metric that measures its share of the total digital assets market—has fallen from 65% to 62%, marking the end of a steady five-month ascent. This decline coincided with an overall increase in the total cryptocurrency market capitalization, which jumped from $2.90 trillion to $3.24 trillion, indicating a broader investor interest in altcoins. This shift mirrors the growing confidence in Ethereum, as detailed in our recent coverage of Ethereum bulls showing interest in ETH’s $1.8K level.
Wedson’s analysis highlights a clear shift: “Even if BTC drops in the coming weeks, most altcoins have already bottomed out, and it’s unlikely they’ll fall below recent price levels,” he noted in a detailed post on X. He further emphasized the importance of analyzing altcoin performance against Bitcoin pairs, such as ETH/BTC or COTI/BTC, to gauge their potential.
Altcoin Season: Already in Motion?
The proprietary altcoin season index developed by Wedson’s company tracks the performance of 57 select altcoins, revealing that 37 of these have outperformed Bitcoin over the past 60 days. This data suggests that the altcoin season isn’t merely a future possibility—it’s already underway. Wedson is optimistic that as Bitcoin’s dominance continues to wane, more of its market cap will flow into altcoins.
However, not everyone shares Wedson’s enthusiasm. Broader market measures, like CoinMarketCap’s altcoin index which focuses on the top 100 coins, remain entrenched at a score of 27, still suggesting a “Bitcoin season.” This inconsistency raises questions about whether the altcoin rally can maintain its momentum or if it will falter in Bitcoin’s shadow. This uncertainty is compounded by the recent surge in crypto token failures, with many new tokens struggling to survive in the competitive market.
Historical Context and Future Implications
The crypto market has seen cycles like this before, where Bitcoin’s dominance ebbs, and altcoins surge. Such patterns were evident during the bull runs of 2017 and 2021, which saw Ethereum and other altcoins achieve significant gains. Yet, these periods have historically been followed by corrections, leaving investors wary of potential pitfalls.
Looking ahead, the market’s trajectory remains uncertain. While Wedson and others are bullish on altcoins, the broader economic landscape, regulatory developments, and Bitcoin’s own resilience could all play decisive roles. As investors weigh their options, the question looms: Can altcoins sustain this momentum, or is it a temporary blip before Bitcoin reasserts its dominance?
In the coming months, market participants will be keenly observing these dynamics, with June 2025 anticipated as a critical juncture. The outcome could redefine market strategies, influencing both seasoned investors and new entrants in the ever-evolving world of digital assets.
Source
This article is based on: Altcoin Season Could Heat Up in June and Drain Part of Bitcoin’s $2T Market Cap, Analyst Says
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Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
