ETF Rotation Fails to Spark Altcoin Season

The crypto market saw significant inflows into top-tier ETFs last week, but this rotation of capital does not necessarily translate to an altseason. On September 9, U.S. exchange-traded funds tracking Ethereum, XRP, and Solana absorbed nearly $59 million in capital, while Bitcoin-related products saw outflows of $120.24 million.

This phenomenon highlights that capital is rotating among different compliant cryptocurrency assets, but the broader market has hardly reflected this rotation effect. The Altcoin Season Index calculated by BlockchainCenter stands at 37, far below the critical threshold of 75.

Despite more and more altcoins launching compliant ETF products, Bitcoin's market share remains stable. According to CoinGecko, Bitcoin currently accounts for 56.64% of the total crypto market cap, compared to 56.02% three months ago and 56.54% a year ago.