This article summarizes 5 core signals for anticipating the arrival of the alt season, from BTC dominance to on-chain activity, providing novice readers with clear timing insights and practical advice to seize opportunities.
To profit during the “alt season,” the key is to accurately grasp the timing. The following 5 major signals constitute important references for judging the arrival of the alt season.
Signal 1: Bitcoin dominance is declining
When the BTC dominance rate continuously drops from 64% to below 60% for several days, it indicates that market funds are starting to overflow from Bitcoin and flow into more promising altcoins. This indicator can be viewed in real time on platforms like TradingView. Once it breaks through 60%, it is often the best window for positioning in alt season.
Signal 2: Bitcoin and Ethereum are consolidating steadily.
Before the alt season arrives, Bitcoin often follows a “rise first, then sideways” pattern; Ethereum often breaks through key resistance levels (such as $3,500) and maintains steady growth. As of August 4, 2025, Bitcoin stabilizes around $114,000, while Ethereum rebounds to $3,562, in line with typical cycle characteristics.
Signal Three: Altcoin Season Index Rises
The Altcoin Season Index released by Coinglass is a statistic that represents the proportion of altcoins that have outperformed BTC over the past 90 days. If this index remains above 60% for several consecutive weeks, it indicates that more than half of the altcoins are experiencing strong upward trends, heralding the arrival of alt season. Investors are advised to check it weekly and gradually enter positions when the index breaks through.
Signal Four: On-chain large holder flow towards altcoins
Observe the fund flow of on-chain whales’ addresses. When large holders of BTC or ETH start to gradually transfer assets into altcoin projects or decentralized exchanges, it reflects the willingness of institutions and large holders to allocate to altcoins, indicating that the alt season is approaching. This can be tracked through data platforms such as Nansen and Glassnode.
Signal Five: Surge in Social Media Popularity
On social media platforms such as Twitter, Reddit, and WeChat Moments, when posts, videos, and information discussing altcoins are increasing exponentially, and keywords like “altseason” and project abbreviations (such as LILPEPE, SUI, XLM) are surging in popularity, it indicates a high concentration of market sentiment. Beginners can pay attention to the Crypto Fear & Greed Index, in conjunction with Google Trends, to assess whether social heat exceeds normal levels.
Summary and Practical Advice for Beginners
- Combine multiple signals: A single indicator cannot fully grasp the alt season. It is necessary to integrate 5 major signals to form a “signal band” and allocate in batches when at least 3 signals appear simultaneously.
- Decentralized allocation: The allocation ratio refers to 6:4 (BTC+ETH : altcoin). After signal confirmation, you can gradually build positions in the altcoin part.
- Strict profit-taking and stop-loss: Set a profit target of 30%-50%, while controlling risk with a stop-loss range of 15%-20%;
- Dynamic adjustment: timely increase or decrease positions in response to changes in dominance and sentiment indicators, maintaining flexibility.
Grasping the rhythm of the alt season means seizing high-yield opportunities. I hope the 5 major signals and practical suggestions in this article can help novice readers move steadily during the upcoming alt season. Good luck!
* The information is not intended to be and does not constitute financial advice or any other recommendation of any sort offered or endorsed by Gate.
