What the Index Reveals

The market is firmly in a “Bitcoin Season,” with the CoinMarketCap Altcoin Season Index currently registering a low score of 28. This metric indicates that Bitcoin’s performance is significantly outpacing that of other major cryptocurrencies, pushing the prospect of a broad altcoin rally further away.

A score below 25 on the index officially marks a Bitcoin Season, meaning the current level is just shy of that threshold. The index works by tracking the performance of the top 50 altcoins against Bitcoin over the preceding 90 days. An “Altcoin Season” is only declared when 75% of these top altcoins have outperformed Bitcoin during that period.

Implications for Investors

The current reading suggests that capital is consolidating within Bitcoin rather than flowing into the more speculative altcoin market. This trend often reflects a risk-off sentiment among investors, who may view Bitcoin as a more stable asset during times of market uncertainty. Until the index shows a sustained move above the 75 threshold, Bitcoin is expected to maintain its market leadership.