Recent changes in the cryptocurrency market suggest a possible return of altcoin season, with Ethereum's growing share and Bitcoin's declining dominance.
Decline of Bitcoin's Share and Ethereum's Rise
According to data, Bitcoin's market share has dropped from 64% to 60%, while Ethereum's share increased from 9.7% to 11.6%. These changes have been observed alongside rising institutional capital flows and altcoin activity, raising the question of whether an altcoin season has begun.
Role of Institutional Investors
Ethereum is leading among alternative cryptocurrencies. The open interest for Ethereum surged from under $18 billion to over $28 billion in just one week. QCP Capital’s analysis indicates that institutional investors appear to be driving this shift, not retail traders.
Data on Large Holders and Market Changes
Market analysis indicates that the number of Ethereum addresses holding more than 10,000 ETH increased by 4% in the past week, whereas the number of Bitcoin addresses with over 1,000 BTC declined by 1.8%. These shifts suggest a rotation of capital from Bitcoin to Ethereum, alongside rising interest in altcoins among the community.
The overall increase in interest towards Ethereum and its market share hints at a potential return of altcoin season. However, further changes will depend on sustained ETF flows, regulatory clarity, and market confirmation.
