Bitcoin’s (BTC) rise to $86,000 this week has dragged altcoin markets higher as the industry’s market cap reclaimed $3 trillion.
Key points:
- Glassnode’s Altcoin Cycle Signal printed a new “altcoin season” signal as it reached 81.25 of a maximum 100.
- Bitcoin dominance, BTC’s market share among crypto assets, failed to break 60% and has stayed rangebound over the past month.
- On Monday, both Bitcoin and Ether ETFs saw their highest daily inflows since October 2025.
Altcoin Cycle Signal flips to favor altcoins over Bitcoin
A proprietary metric from onchain analytics platform Glassnode has delivered a new “altcoin season” signal this week on the back of recent crypto market upside.
Glassnode’s Altcoin Cycle Signal, which compares the market cap of the 250 largest cryptocurrencies relative to Bitcoin, has flipped to favoring altcoin outperformance. Altcoin season — known in crypto circles as ‘altseason’ — refers to periods when altcoins outperform Bitcoin in combined market-cap growth. Glassnode’s metric delivers “altcoin season” signals when relative growth in market cap of the 250 largest altcoins, excluding stablecoins, is temporarily stronger than that of Bitcoin. The exact methodology behind the calculation is not disclosed.
The seven-day rolling mean value of the Altcoin Cycle Signal measured 81.25 on its normalized scale from 0-100 as of Monday.
“The first rally in August saw altcoins stay relatively flat while BTC moved. However, today’s rally has ignited the full breadth of the altcoin market,” Glassnode reported in a post on X.
The combined altcoin market cap reached $1.19 trillion on Tuesday, marking its highest level since late January. Altcoins have increased their market capitalization by 33% since Aug. 19, when crypto markets saw flash upside on the back of an announcement by the US Treasury over interventions in bond markets.
Total altcoin market cap one-week chart. Source: Cointelegraph/TradingView
Bitcoin’s dominance over the total crypto market cap, meanwhile, has continued to act within a narrow range since then, and currently sits at 59.7% versus 59.2% on Aug. 19.
Commenting on the current dynamic, trader and commentator Matthew Hyland described a state of “complacency” among Bitcoin investors, suggesting that dominance had already set a macro high when it reached 66% in June 2025. He argued on Saturday that investors have remained unwilling to accept Bitcoin’s lack of progress against altcoins since then.
BTC dominance of crypto market cap one-week chart. Source: Cointelegraph/TradingView
Crypto ETFs see broad rebound in inflows
Crypto exchange-traded funds (ETFs) reveal a blanket rebound in investor demand across both Bitcoin and altcoin products this week.
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On Monday, the US spot Bitcoin ETFs saw combined inflows of $999 million, while Ether (ETH) ETFs took in $270 million. In both cases, the daily tally was the highest since October 2025, per data from UK-based investment company Farside Investors.
As Cointelegraph reported, Bitcoin ETF investors’ aggregate cost basis sat at just below $86,000 at the end of last week, with BTC/USD now attempting to cement that level as support.
Bitcoin, Ether ETF netflows data. Source: Farside Investors
