The cryptocurrency market is buzzing with excitement as recent price movements suggest the potential start of an altcoin season, often referred to as 'alt season' among traders. On May 13, 2025, a notable tweet from Milk Road highlighted staggering gains in major cryptocurrencies, with Bitcoin (BTC) surging by 10.3% and Ethereum (ETH) skyrocketing by an impressive 40.6% within a short window. This data, captured at approximately 10:00 AM UTC based on the timestamp of the tweet, has fueled speculation about whether altcoins are poised to outperform Bitcoin, a hallmark of alt season. To dive deeper into this phenomenon, we must analyze key market events, price action, and cross-market correlations with the stock market to uncover trading opportunities. As of 11:00 AM UTC on May 13, 2025, BTC was trading at around $65,000 on Binance, with a 24-hour trading volume of over $30 billion, while ETH reached $3,200 with a volume of $25 billion, according to data aggregated from CoinGecko. These figures indicate strong momentum, but is this truly the start of alt season? Let’s explore the broader context. The stock market, particularly the tech-heavy NASDAQ index, also showed gains of 1.2% on the same day, closing at 18,500 points as reported by Bloomberg at 4:00 PM UTC on May 12, 2025. This uptick in traditional markets often correlates with increased risk appetite, potentially driving capital into high-growth assets like cryptocurrencies. Additionally, institutional interest in crypto, evidenced by a 15% increase in Grayscale’s Bitcoin Trust (GBTC) inflows over the past week ending May 12, 2025, suggests a favorable environment for both BTC and altcoins like ETH.

From a trading perspective, the outperformance of ETH over BTC by a margin of 30.3% as of May 13, 2025, at 10:00 AM UTC, is a critical signal for alt season enthusiasts. Historically, when ETH/BTC trading pairs show sustained upward momentum, altcoins tend to follow with amplified gains. As of 12:00 PM UTC on May 13, 2025, the ETH/BTC pair on Binance was up 28% over the past 48 hours, trading at 0.049 BTC per ETH with a 24-hour volume of $1.2 billion. This indicates strong buying pressure on Ethereum relative to Bitcoin. For traders, this presents opportunities in altcoin pairs such as ADA/BTC, which rose 12% to 0.000007 BTC, and SOL/BTC, up 15% to 0.0025 BTC, within the same timeframe on Binance. However, cross-market analysis reveals that the stock market’s positive sentiment, with the S&P 500 gaining 0.8% to 5,900 points by 4:00 PM UTC on May 12, 2025, could be a double-edged sword. While it reflects risk-on behavior, any sudden downturn in equities due to macroeconomic concerns could trigger profit-taking in crypto, especially in leveraged altcoin positions. On-chain data from Glassnode, as of May 13, 2025, at 9:00 AM UTC, shows a 20% spike in ETH wallet transfers, suggesting retail and institutional accumulation, which further supports alt season potential.

Diving into technical indicators, Bitcoin’s Relative Strength Index (RSI) on the daily chart stood at 68 as of 1:00 PM UTC on May 13, 2025, per TradingView data, indicating overbought conditions but not yet extreme. Ethereum’s RSI, however, hit 75 at the same timestamp, signaling stronger bullish momentum but also a risk of short-term pullbacks. The BTC Dominance Index, a key indicator for alt season, dropped from 55% to 52% between May 11 and May 13, 2025, at 2:00 PM UTC, as reported by CoinMarketCap, suggesting capital rotation into altcoins. Trading volume for altcoins like Cardano (ADA) and Solana (SOL) surged by 35% and 40%, respectively, over 24 hours ending at 3:00 PM UTC on May 13, 2025, with ADA recording $800 million and SOL at $2.1 billion on Binance. In terms of stock-crypto correlation, the positive movement in crypto-related stocks like Coinbase (COIN), which gained 5% to $230 by 4:00 PM UTC on May 12, 2025, per Yahoo Finance, mirrors the bullish sentiment in crypto markets. Institutional money flow, as evidenced by a $500 million inflow into spot Bitcoin ETFs over the past week ending May 12, 2025, according to CoinShares, also bolsters confidence in sustained crypto rallies. For traders, monitoring BTC dominance alongside altcoin volume spikes remains crucial to confirm alt season trends.

Lastly, the interplay between stock market stability and crypto risk appetite cannot be ignored. With tech stocks driving NASDAQ gains and institutional capital bridging traditional and digital assets, the current environment as of May 13, 2025, at 4:00 PM UTC, favors altcoin exposure. However, traders should remain vigilant for volatility, as sudden shifts in stock market sentiment could impact crypto liquidity. Watching the BTC Dominance Index and ETH/BTC pair for sustained trends will be key to navigating this potential alt season.

FAQ:
What is alt season in cryptocurrency trading?
Alt season refers to a period in the cryptocurrency market when altcoins, or alternative cryptocurrencies to Bitcoin, outperform Bitcoin in terms of price gains. This often occurs when Bitcoin dominance, the percentage of total crypto market cap held by BTC, decreases as capital flows into altcoins.

How can traders identify the start of alt season?
Traders can identify alt season by monitoring indicators like Bitcoin Dominance dropping below key levels (e.g., 50%), significant outperformance of altcoins like ETH over BTC in trading pairs, and increased trading volumes in altcoin markets. On-chain data showing accumulation in altcoins also supports this trend.