BTC dominance surges past 61% threshold: Are altcoins poised to catch up?
BTC's dominance in the crypto market surged past 61% while leading market capital flows. March data revealed that altcoins listed on Binance accounted for 49% of trading volume.
On Wednesday, Bitcoin dominance reached the 61% mark, representing its peak level since November 2025. This key metric has experienced an upward trajectory from 58.44% recorded at the beginning of April, demonstrating that the upward momentum remains concentrated in BTC compared to the broader cryptocurrency ecosystem.
Over the past two months, altcoin trading volumes on the Binance platform also saw a 49% surge, while approximately 12.6% of Binance-listed altcoins successfully recaptured their 200-day simple moving average (SMA) threshold.
Signs of early recovery emerge in altcoin markets
According to crypto analyst Darkfost, Bitcoin has posted gains of 36% following its Feb. 6 bottom at $60,000, contributing to the push of its dominance level to 61.3%.
Although altcoins remained largely pressured throughout most of this timeframe, TOTAL3, the metric measuring crypto market capitalization minus Bitcoin and Ether, climbed 17% to reach a two-month peak of $765 billion. Despite altcoins recovering at a slower rate compared to BTC, multiple indicators have begun showing signs of improvement.
According to data from CryptoQuant, trading activity within the altcoin sector was experiencing a gradual uptick. The volume share these assets commanded on Binance rose to 49% on Wednesday, marking an increase from the 31% recorded in March, when calculated against the total BTC and ETH futures trading volumes. This upward movement suggests expanding market participation beyond Bitcoin and Ether following multiple months where capital remained heavily concentrated in the two dominant crypto assets.
Darkfost noted that the current shift appears relatively moderate and remains considerably distant from the intense rotation phases witnessed during the prior altcoin rally that occurred in 2024.
Trading volume patterns on exchanges suggest capital rotation
Market analyst CW8900 highlighted the growing activity levels on centralized exchanges (CEX) as an additional indicator of enhanced participation extending beyond Bitcoin. The analyst noted that altcoin trading volume, when the five largest cryptocurrencies are excluded from the calculation, has demonstrated consistent growth throughout recent weeks.
The 90-day AltSeason Index has also risen to 28.6, marking its most rapid recovery in recent months. This index monitors whether the majority of altcoins are outperforming Bitcoin during a specified timeframe. Values exceeding 75 typically correlate with more robust altcoin market cycles. Nevertheless, CW8900 commented,
"The indicator also shows that there was no real AltSeason in this cycle. The period when the AltSeason Index reached its highest point was early 2024, and even that value was relatively low compared to previous AltSeasons."
Data from CryptoQuant additionally revealed notable improvements throughout the altcoin market following months of substantial underperformance relative to Bitcoin. Currently, the typical altcoin is trading 23.47% beneath its 200-day simple moving average, representing an improvement from the 44.4% deficit observed earlier in the cycle. Comparable readings have historically emerged near the conclusion of late-stage bear markets, such as in 2022.
