Bitcoin Dominance Falls Below 60%, Altcoin Rally Looms

Bitcoin's dominance in the cryptocurrency market dropped below 60% for the first time since September 2025, despite a 3.3% price gain. This decrease occurred as seven altcoins outperformed Bitcoin, with Litecoin leading the charge at a 23.7% surge.

The influx of $2.4 billion into Bitcoin funds during this week is a key factor distinguishing this crossing from past events when dominance fell below 60%. Historically, this metric has fluctuated three times: in March 2017, early 2021, and September 2025. Each previous time had different outcomes, with the first leading to a massive altcoin rally followed by a market collapse.

However, the current situation shows broad-based gains in altcoins, indicating no single sector is driving the charge. One indicator will determine if this marks the start of an altcoin season: if daily inflows into Bitcoin ETFs shift to outflows while altcoins continue rising through October.