- October purge cleared weak positions, creating healthier conditions for altcoins.
- BTC dominance below 60% may trigger rotation into altcoins.
- ETH, SOL, ADA, SUI, XRP show strong potential in 2025.
The idea of another altcoin season has divided the crypto community in 2025. Many investors have begun to doubt whether a strong altcoin rally will ever return. Yet, a few catalysts hint that the next big wave of altcoin rotation could be closer than most expect.
Market Reset Clears the Field
The recent deleveraging event on October 10 caused Bitcoin to drop by nearly 20%, while several altcoins fell by over 70%. Although bearish, this purge helped flush out excessive leverage and weak positions across the market. This reset has created healthier conditions for a new cycle.
Roughly half of all altcoins saw their liquidity or trading activity collapse, forcing an industry-wide clean-up. Such events have historically paved the way for the next leg up, similar to how the 2020 crash preceded the 2021 bull market. This time, however, experts say the rally will likely favor stronger, fundamentally backed projects rather than speculative tokens.
Related: ETH Near $5K to Light Up Altseason, SOL Leads the Watchlist
Bitcoin Dominance Is Falling
Another signal comes from the Bitcoin dominance metric, which now sits below 60%. This number shows the percentage of total crypto market capitalization held in Bitcoin. Historically, when dominance drops below 54%, it often triggers a rotation into altcoins.
The analyst said that investors might be preparing to move profits from Bitcoin into alternative assets like Ethereum, Solana, and Cardano.
Real-World Adoption Strengthens
Beyond trading metrics, another driver for altcoin season lies in real-world adoption and infrastructure growth. Sectors like decentralized finance (DeFi), tokenization of real-world assets (RWA), and layer-2 scaling are expanding rapidly. As projects mature, they are becoming less speculative and more tied to actual use cases.
Players such as BlackRock have shown increasing interest in digital asset products and tokenized investment platforms, adding more legitimacy to the space.
Top Altcoins To Accumulate
- Ethereum (ETH): Ethereum trades below $5,000 but shows strength from institutional interest and a deep ecosystem. It is used more for yield and utility than speculation and could benefit if altcoins gain momentum.
- Solana (SOL): Solana has strong on-chain growth and growing institutional demand. If resistance clears, it could break out toward $300–$360 in the near term.
- Cardano (ADA): Cardano’s price remains low, offering an opportunity for investors. Its research-driven infrastructure and adoption momentum position it well for gains in 2025.
- SUI: Sui Network has strong technical setup and institutional interest. It has performed well since late 2024 and could see growth in the altcoin upswing.
- XRP: Ripple trades around $2–$2.50 and benefits from regulatory and institutional support. Upcoming catalysts could trigger meaningful upside during the next altcoin season.
Related: Crypto Lawyer Blasts Cyber Capital Founder for “Parroting” Centralized Narrative Against XRP
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