Analysts have outlined three signals signaling a potential altcoin season in 2026. The first is that weekly bullish divergences are forming across multiple altcoins, where prices make lower lows while momentum indicators such as the RSI print higher lows, signaling waning downside momentum and a potential trend reversal. Crypto strategist Michaël van de Poppe points to examples including Optimism, Arbitrum, NEAR, and Avalanche to illustrate the setup. He notes that the weekly timeframe is among the strongest windows to build this trend, adding that the year may mark the Web3 sector’s turning point rather than a traditional commodity cycle.
The second signal is the Others.D index, which tracks the combined market share of all coins outside the top 10 by market cap. Others.D appears close to breaking out of a multi-year falling wedge pattern, which analysts say could catalyze a broader altcoin rally if the upper trendline is surpassed. BitcoinSensus data indicate Others.D sits around 6.88%, with a breakout potentially expanding toward an upside target of 13.77%. A separate post from BitcoinSensus notes that recent moves in Bitcoin dominance could be early signals of an approaching altcoin season.
The final signal comes from centralized exchange volume data. On-chain analyst CW8900 notes that the share of altcoin trading activity outside the top five coins is markedly higher than in prior cycles. While some observers contend that this cycle may lack a true altseason, on-chain data show altcoin trading activity remains robust compared with past cycles. Market observers caution that altcoin dominance has shifted toward whales, who may push prices higher to realize profits in this cycle.
Leave a Reply