Emre Yumlu 
The heavy correction in November left altcoin markets bruised, with many tokens surrendering most of their yearly gains and revisiting deep bear-market levels. More than a trillion dollars exited the broader crypto ecosystem, creating a gloomy backdrop. Still, several market observers argue that the altcoin cycle is far from finished. Could a new altseason be forming beneath the surface? Here is a closer look.
Capital Rotation and TOTAL3 Indicators
Analysts are paying particular attention to TOTAL3, the metric reflecting the total market capitalization excluding Bitcoin and stablecoins. According to the analysis group known as “Stockmoney Lizards,” the current stagnation in altcoins may actually be an early sign of incoming capital rotation. They note that liquidity often moves from Bitcoin into stablecoins before eventually flowing into higher-risk assets:
“Bitcoin sells off → capital shifts to stablecoins → stable liquidity builds → then rotates into altcoins. We are currently in the waiting stage, which typically precedes an altseason.”
A New Phase Rather Than the End of a Cycle
Michaël van de Poppe, founder of MN Fund, echoes this perspective. He argues that the recent turbulence does not mark the end of the broader bull market; instead, it represents the final stretch of the altcoin bear trend. Van de Poppe suggests that the conventional four-year Web3 cycle is no longer an accurate template for current market dynamics, noting that today’s environment reflects a longer, more complex cycle with diverse opportunities emerging across sectors.
Similarly, analyst “Sykodelic” highlights that TOTAL3 is positioned strikingly close to levels observed before major altcoin expansions in previous cycles. Although the recent drop has been difficult for holders, they believe the market is not nearing a top but rather approaching a key inflection point.
Slow but Positive Signs of Recovery for Altcoin
Throughout November, numerous altcoins experienced declines exceeding 50%. However, a modest rebound has begun to take shape. Bitcoin has regained the $91,000 level, while Ethereum has moved above $3,000, offering some short-term relief to traders.
Among the stronger performers, BNB climbed 3.6%, Hyperliquid (HYPE) advanced 5.9%, and Avalanche (AVAX) added around 5% on the day. The total crypto market capitalization now stands near $3.2 trillion, though it remains well below its October peak.
According to analyst Alex Wacy, metrics comparing altcoins to Bitcoin continue to point toward a significant expansion phase. If momentum develops as expected, the market could be on the verge of one of the most notable altcoin rallies in recent years.
You can also freely share your thoughts and comments about the topic in the comment section. Additionally, don’t forget to follow us on our Telegram, YouTube, and Twitter channels for the latest news and updates.