Altcoin Season: Should You Buy Altcoins Before Bull Run

Altcoin Season

Every few years, a powerful wave of excitement sweeps through the crypto market. Bitcoin usually leads the charge, but after its initial surge, something interesting happens — altcoins (alternative cryptocurrencies) start exploding in value. This event is what crypto traders call Altcoin Season.

In 2025, many crypto analysts are already seeing early signs of another altcoin season. With Bitcoin hitting new highs and the market heating up, the big question is: Should you buy altcoins before the bull run peaks? This guide will help you decide.

What Is Altcoin Season?

Altcoin Season is a period when altcoins significantly outperform Bitcoin in terms of price gains. While Bitcoin remains the market leader, during this phase, money starts flowing into smaller coins with higher growth potential.

🧠 Bitcoin vs. Altcoin Bull Runs:

  • Bitcoin Bull Run: BTC leads the market, dominates volume and investor interest.
  • Altcoin Season: BTC cools down or moves sideways, and altcoins surge.

A key tool to track this is the Bitcoin Dominance Index (BTC.D) — which measures Bitcoin’s market share compared to all other cryptos. When BTC dominance drops, it signals that investors are rotating into altcoins.

Historical Altcoin Seasons:

  • 2017: Ethereum, Ripple, and Litecoin saw massive gains after BTC.
  • 2021: Memecoins like Dogecoin and altcoins like Solana, Cardano, and Avalanche surged.

How to Know If Altcoin Season Is Starting

Declining Bitcoin Dominance

When Bitcoin Dominance (BTC.D) starts falling below 50%, it often triggers an altcoin rally. A sweet spot is typically between 40% and 45%.

  • You can track this on platforms like TradingView or CoinMarketCap.
  • Declining BTC.D = funds flowing into altcoins.

Increased Volume in Alt Pairs

Altcoins paired with USDT or ETH start gaining volume. Coins like Ethereum (ETH), Solana (SOL), and Avalanche (AVAX) start leading the market.

  • Smaller cap coins begin to break out.
  • Total altcoin market cap increases rapidly.

Social & Sentiment Signals

  • Google Trends spikes in keywords like “best altcoins to buy.”
  • Crypto Twitter (X) and Reddit (r/cryptocurrency) buzz with altcoin picks.

📊 Chart: Bitcoin Dominance vs. Altcoin Market Cap Growth (2017–2025)
BTC.D vs Alt Market Cap Chart

Why Altcoins May Outperform Bitcoin in a Bull Run

Higher Growth Potential

Smaller coins have more room to grow. A 10x return is more likely from a $500M coin than a $1T Bitcoin.

Innovation

Altcoins often represent new tech:

  • DeFi platforms (Aave, Maker)
  • Layer 2 solutions (Arbitrum, Optimism)
  • AI tokens (Render)
  • Gaming/Metaverse (Gala, Illuvium)

Ecosystem Growth

Ethereum and Solana, for example, are becoming full ecosystems with apps, NFTs, and DeFi.

Risks of Buying Altcoins Before a Bull Run

Volatility

Altcoins can pump 100% and then dump 60% — sometimes in a day.

Rug Pulls

Many small-cap tokens are scams. Always research the team, tokenomics, and roadmap.

Liquidity Issues

Low-cap coins may be hard to sell quickly without impacting price.

Timing Risk

Buying too early or late in the cycle can reduce profits or lead to losses.

Top Altcoin Categories to Watch in 2025

Layer 1 & Layer 2 Blockchains

  • Ethereum (ETH)
  • Solana (SOL)
  • Avalanche (AVAX)
  • Arbitrum (ARB)

DeFi & Real World Assets

  • Aave (AAVE)
  • Chainlink (LINK)
  • MakerDAO (MKR)
  • Pendle (PENDLE)

Meme & Community Tokens

  • Dogecoin (DOGE)
  • Shiba Inu (SHIB)
  • PEPE, and newer viral tokens

AI, Gaming & Metaverse

  • Render (RNDR)
  • Gala (GALA)
  • Illuvium (ILV)
  • Worldcoin (WLD)

How to Build an Altcoin Portfolio

✅ Diversify by Sector and Size

Don’t put all your money in one token. Instead:

  • 40% Large-cap (ETH, SOL, LINK)
  • 30% Mid-cap (ARB, PENDLE, RNDR)
  • 30% Small-cap (newer projects with potential)

Use Secure Wallets

For long-term holdings, use cold wallets like Ledger or Trezor.

💡 Want help getting started? Read our Beginner’s Guide to Altcoin Trading

Timing Your Entry: Before or During the Bull Run?

✅ Buying Early (Now)

  • Lower prices = higher ROI potential
  • Accumulate before hype

⚠️ Buying During the Bull Run

  • More momentum, but also more FOMO
  • Higher prices = more risk

📌 Pro Tip: Use a DCA (Dollar-Cost Averaging) strategy to reduce timing risk. Invest a fixed amount weekly or monthly.

Pro Tips to Survive Altcoin Season

  • ✅ Set stop-losses to protect your capital
  • Take profits as coins rise (don’t wait for the top)
  • ✅ Focus on projects with real use cases and active devs
  • ✅ Monitor token unlocks, roadmap progress, and key partnerships

Why did altcoins not perform well?

Altcoins don’t always shine — and in some market cycles, they underperform or even crash hard. Altcoins usually shine only when BTC.D drops — signaling that market participants are taking more risks. Altcoin rallies are often driven by retail FOMO, especially in meme coins and low-cap gems.

Altcoins are high-reward but also high-risk. When the market favors stability or Bitcoin dominance is rising, altcoins can underperform badly — even during a broader crypto uptrend.

What sparked previous altcoin seasons

Altcoin seasons are not random. Each major altcoin surge in the past was triggered by a mix of market conditions, investor psychology, and key developments in the crypto space.

Altcoin season tends to follow when Bitcoin has already rallied significantly and starts trading sideways. Investors rotate profits into altcoins seeking higher returns.

When is the next alt season?

There’s no exact date for when altcoin season starts. However, based on past crypto cycles and current market indicators in 2025, we can estimate that the next altcoin season may begin in Q4 2025 or early 2026. Historically, altcoin seasons follow 6–12 months after Bitcoin halvings, as BTC cools and capital rotates into altcoins.

As of mid-2025, BTC dominance is above 50%, but if it starts to fall below 48%, it typically marks the early stage of altcoin season. Altcoin season is not guaranteed and timing it perfectly is hard. But if history repeats, late 2025 to early 2026 could be the next big altcoin wave.

FAQs

Q1: What is Altcoin Season and how long does it last?
It’s when altcoins outperform Bitcoin. It can last weeks to several months depending on market momentum.

Q2: How do I know if altcoin season has started?
Watch for declining Bitcoin dominance, rising altcoin volumes, and growing social media buzz.

Q3: Which altcoins are best to buy before a bull market?
Ethereum, Solana, and top DeFi or AI coins are often safer bets. Small caps can offer higher risk/reward.

Q4: Should I sell my Bitcoin for altcoins during altcoin season?
Not necessarily. Diversify instead of going all in. BTC is still a strong long-term hold.

Q5: Is it too late to invest in altcoins in 2025?
If the bull run is still early or mid-phase, it’s not too late. But always manage risk and avoid FOMO buys.

Q6: How do I predict an altcoin season?
While you can’t predict it with 100% accuracy, there are clear signals that suggest altcoin season is coming. Use a combination of technical data (BTC.D, volume, market cap) and sentiment signals (Google Trends, social media) to build a strong case. The more signals that align, the stronger the likelihood altcoin season is starting.

Q7: How long does the altcoin season usually last?
Altcoin season is intense but short-lived — usually 4–12 weeks. To make the most of it, enter early, take profits gradually, and don’t chase the tail end of the cycle.

⚠️ Disclaimer

This article is for educational purposes only. It is not financial advice. Always do your own research and consult a licensed advisor before making investment decisions.

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