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      Glassnode Reports Shift to Altcoin Season Amid Bitcoin Weakness

      Glassnode's Altcoin Cycle Signal reached a notable 86 on June 22, indicating a shift from Bitcoin dominance to altcoin outperformance. This signal surpassed the critical 50-point threshold, suggesting that altcoins were outperforming Bitcoin. However, analysts caution that this shift may be more reflective of Bitcoin's recent decline of approximately 18% rather than a surge in altcoin demand.

      By July 4, Glassnode confirmed that the altcoin season signal remained strong, indicating genuine strength in altcoins on both a relative and absolute basis. As of mid-September, the total market capitalization of altcoins had increased by about 21% month-over-month, yet the absence of leverage in altcoin trading raised concerns. Open interest in altcoins was significantly lower than that of Bitcoin, suggesting that traders were not aggressively borrowing to enhance their altcoin positions.

      The situation became more complex with CoinMarketCap's Altcoin Season Index, which was around 45 in September, indicating that Bitcoin still held dominance in the market. This divergence in metrics highlights the differing methodologies used by analytics providers to assess market performance. While Glassnode's signal indicates that a diversified basket of altcoins has outperformed Bitcoin, the low leverage suggests that the current rally may not have attracted the typical momentum traders, who often drive mid-cycle price increases.

      © 2026 KLEA News. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

      Source: KLEA News

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