As Bitcoin (BTC) continues to maintain its market dominance by increasing its market share, many analysts believe that the second quarter of 2025 is an ideal time to accumulate altcoins.
The altcoin market capitalization has dropped below $1 trillion, falling 40% from its all-time high (ATH). Many altcoin investors are experiencing losses. However, analysts believe this could be a preparatory stage for the upcoming altcoin season.
Will the Second Quarter Bring an Altcoin Season?
Joao Wedson, an analyst at Alphracle, pointed out that many altcoins have shown poor performance in in the current market cycle (2022–2025).
In a post on X, Wedson emphasized that several altcoins have returned to their launch prices. Some of these were once highly hyanticipated as "rockets to the moon". This indicates an accumulation period, which it is be a to buy orders at low prices.
"From December 2024, we have been in a bear market (in fact, bearish sentiment was already present from October). Howeverry, I still believe the market will heat up for cryptocurrencies between April and May—even if BTC falls further, we still have low targets." — Joao Wedson, Alphracle Founder, Prediction.
Wedson advises investors to focus on altcoin projects with strong fundamentals and growth potential. He suggests avoiding coins that surged in 2024, such as ETH, SOL, and TRX. His strategy is to buy at low prices and be patient—a cautious but promising approach.
Meanwhile, another famous analyst, Ash Crypto, predicts that Bitcoin's dominance reaching 70% will signal its peak. Historically, this level indicated the start of an altcoin season within the next few months.
Bitcoin dominance (BTC.D) compares Bitcoin's market capitalization to the total cryptocurrency market capitalization. A decline in BTC.D indicates capital flowing into altcoins instead of Bitcoin.
Currently, BTC.D maintains over 60% with no signs of weakening. Ash Crypto's prediction strengthens the belief that a significant altcoin rally could begin in the second and third quarters of 2025.
Experienced trader Merlin also agrees with this outlook. In a recent post on X, he predicted an altcoin season similar to 2021, emphasizing that the next 3-6 months will be crucial for investors in constructing their portfolios."Altcoin season is getting is preparing—just like in 2021... The next 3-6 months can define your portfolio." — Merlin the Trader Prediction.
However, according to a recent BeInCrypto analysis, the Crypto Fear and Greed Index has dropped to 25 points, indicating "extreme fear". Concerns about escalating trade wars are exacerbating investor anxiety.
While some analysts like Nick Perkin, founder of Coin View, believe Bitcoin is far from a bear market, the future of many altcoins remains uncertain.
