- Bitcoin’s dominance slips to 64.13% as altcoin season index rises, hinting at a slight change in crypto market momentum.
- Ethereum outpaces BTC with a 7.4% weekly gain; MAGIC surges by 48%, led by institutional inflows and L2 ecosystem growth.
- Memecoins like BONK and SPX6900 rally, showing isolated strength, but BTC still leads institutional flows and ETF interest.
Bitcoin’s firm grip on the crypto market is beginning to loosen. Its dominance, which was near yearly highs, has dropped to 64.13%, down by 0.34 points in the past 24 hours. Although this figure remains historically strong, several indicators now show a shift in momentum.
The Altcoin Season Index has jumped by 18% in one day, rising to 26 out of 100, hinting at early movement beneath the surface. However, this still places the market in what analysts label as “Bitcoin Season,” with altcoins lagging behind. Yet, fresh data from corporate activity, trading platforms, and seasonal patterns suggest capital is now shifting, primarily toward Ethereum and select alternative assets.
Ethereum Ecosystem Sees Accelerated Inflows
A key sign of rotation is visible within the Ethereum ecosystem. ETH posted a 7.4% weekly gain, outpacing Bitcoin. Meanwhile, Layer 2 tokens also saw strong gains. Notably, MAGIC soared by 48% within a week.
SharpLink Gaming added $19 million worth of ETH to its holdings, and GSQ Holdings has recently intensified its ETH purchases. In addition, Base Network introduced 200ms flashblocks, helping its decentralized-to-centralized exchange ratio hit an all-time high of 30%.
This activity shows how capital is selectively moving into ETH-linked assets, while smaller-cap altcoins still struggle for attention. These developments indicate targeted investment behavior rather than broad-based momentum.
Analysts Point to Historical Altcoin Patterns
According to Michael van de Poppe, altcoin momentum typically forms in summer months, particularly in June. Over the past five years, the Altcoin Season Index has bottomed during this period.
Each time, a stronger second half of the year followed for alternative assets. In 2025, the current pattern resembles those of 2022 and 2023, which both saw deep Bitcoin dominance phases before reversals.
Currently, the index is at 26, marking continued Bitcoin preference. However, past years showed similar setups before altcoins gained ground. Although the seasonal pattern repeats annually, external factors like quantitative easing and institutional flows may impact the scale and timing.
Memecoins Show Isolated Strength Amid Broad Lag
Beyond ETH, several memecoins recorded notable gains. SPX6900 jumped by 17.8% following a Tokocrypto listing and a rise in open interest to $139 million. BONK spiked by 52% weekly, driven by LetsBonk platform activity that recently overtook Pump.fun metrics.
While these gains attract retail traders, they have not yet altered overall market dynamics. Bitcoin continues to dominate institutional flows, with $216.5 million entering BTC ETFs compared to $62.1 million for ETH. Liquidations also favor Bitcoin, with BTC down by 24.3% while altcoins saw broader volatility.
The market now may be at a turning point. Ethereum ecosystem inflows, seasonal altcoin data, and memecoin rallies all suggest emerging shifts. Still, Bitcoin dominance and institutional preference maintain the upper hand. A break below the 63.5% BTC dominance level could mark a broader rotation.
