Emre Yumlu 
Investors in the crypto market are once again speculating that the long-awaited altcoin season may finally be approaching. However, current market indicators continue to signal conditions more consistent with a bear market than a broad-based altcoin rally.
Liquidity Shift Could Spark Altcoin Momentum
Crypto analyst Ash Crypto believes a major “liquidity shift” later this year could trigger a parabolic rise in altcoins.
According to the analyst, while Bitcoin has soared by more than 680% since its bear market low in November 2022, most altcoins have yet to follow suit. Meanwhile, traditional assets such as tech stocks and gold have reached all-time highs, suggesting that capital has largely remained within safer asset classes.
Ash Crypto explained that investors have been prioritizing low-risk assets this year due to ongoing trade tariff disputes and geopolitical tensions. “Right now, liquidity is concentrated in low-risk assets. If you look back at 2017 and 2021, that’s always how bull markets begin,” he said.
The analyst added that with the Federal Reserve expected to cut interest rates and adopt a more accommodative stance on monetary policy, liquidity will likely return to risk-on assets, pushing Bitcoin and Ethereum to new peaks and eventually igniting a broader altcoin rally.
Altseason Indicators Still in Bear Territory
Despite growing optimism, altseason indicators tell a different story. The Blockchain Center’s Altseason Index currently stands at 35 out of 100, marking its lowest level since July.
Similarly, CoinMarketCap’s altseason index sits at just 24, indicating that it remains “Bitcoin season.” CryptoRank reports an identical reading of 24, while Bitget’s altcoin season index stands at 30, suggesting that altcoins are still struggling to gain momentum.
Only a Handful of Altcoins Are Standing Out
While the broader market remains subdued, a few altcoins have managed to shine. BNB and Hyperliquid (HYPE) recently reached new all-time highs, while Solana, Zcash, and World Liberty Finance (WLFI) outperformed the overall market in recent trading sessions.
Adding to the optimism, there are currently over 150 pending altcoin ETF applications awaiting approval from the U.S. Securities and Exchange Commission (SEC). Market observers believe that such approvals could serve as a key catalyst for the next altseason.
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