Altcoin Dominance on Binance Reaches 78% as Analysts Forecast Strong Growth Ahead

Altcoin trading activity on Binance has surged to new heights, with the platform’s altcoin trading volume dominance hitting 78%. A crypto market analyst suggests this trend signals the possibility of a strong altcoin market rally in 2025.

According to CryptoQuant contributor Burakkesmeci, who shared insights in a January 11 report, growing retail engagement could drive further momentum in the altcoin sector over the coming months.

Analyst Optimistic About 2025 Altcoin Bull Market

Burakkesmeci highlighted that Binance’s altcoin trading volume dominance has risen to 77.83% this month, reflecting an 11% increase since August 2024.

“This steady rise in altcoin trading activity on Binance bolsters confidence in the likelihood of an altcoin bull market in 2025,” he noted.

The analyst also pointed out that interest in altcoins has been steadily growing, as Binance’s altcoin dominance was just 50.80% in May 2024.

Bitcoin Season Indicators Persist

While altcoin activity is on the rise, CoinMarketCap’s Altcoin Season Index—which evaluates the performance of the top 100 cryptocurrencies over 90 days—currently sits at 46, suggesting a tilt toward “Bitcoin Season.

Typically, traders monitor Bitcoin Dominance, which reflects Bitcoin’s share of the total crypto market cap, as a potential indicator for altcoin seasons. As of now, Bitcoin Dominance stands at 57.74%, up 2.41% in the past month, according to TradingView.

Ether Gains Could Spark Wider Altcoin Growth

Pseudonymous trader Mister Crypto predicted in a January 11 post on X that Ether (ETH) might rally significantly, projecting a jump from $4,000 to $8,000 in the near term.

Ether’s price movement is often viewed as a bellwether for broader altcoin market trends. Currently, Ether is trading at $3,279, reflecting a 15.77% decline over the last 30 days.

Meanwhile, Bitwise Invest CEO Hunter Horsley expressed optimism in a January 11 X post, stating he is “excited for the strides Bitcoin and the broader crypto space will achieve this year.”

A Different Kind of Altcoin Season?

Some analysts caution that this altcoin season may not mirror past cycles. Ki Young Ju, CEO of CryptoQuant, compared the current altcoin market cap to Bitcoin’s, which has doubled since 2021. He emphasized that only projects with solid use cases and compelling narratives are likely to thrive.

Ju has previously noted that capital rotation from Bitcoin to altcoins, a key driver of past altcoin seasons, is becoming less significant in today’s market.

While the dynamics of the crypto market continue to evolve, the growing dominance of altcoin trading on Binance suggests that altcoins may play a pivotal role in shaping the market landscape in 2025.

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