The cryptocurrency market has been showing intriguing patterns in 2024, with Bitcoin (BTC) and the broader altcoin market, often represented by metrics like Total 3 (a measure of altcoin market capitalization excluding BTC and ETH), displaying similar price behaviors. According to a recent tweet by Trader Tardigrade on June 8, 2025, Bitcoin reached an all-time high (ATH) in early 2024, followed by a notable pullback. Similarly, the Total 3 index hit its ATH in late 2024 before retracing. BTC eventually broke past its previous ATH, climbing to new heights, with data from CoinGecko showing BTC reaching $73,000 on March 14, 2024, at 10:00 AM UTC, before pulling back to $65,000 by March 20, 2024, at 14:00 PM UTC. Total 3, reflecting altcoin strength, mirrored this pattern with a peak of $1.2 trillion in market cap on November 10, 2024, at 08:00 AM UTC, before dropping to $1.05 trillion by November 15, 2024, at 12:00 PM UTC, as per TradingView data. This cyclical behavior suggests a potential setup for altcoins to rally when the much-anticipated 'Altseason' arrives, a period where altcoins often outperform BTC. This analysis ties into broader market sentiment, where traders are keenly observing historical patterns for actionable trading opportunities in both BTC and altcoin markets.

From a trading perspective, the correlation between BTC's price action and Total 3 offers critical insights for positioning in the crypto market. BTC's breakout above its early 2024 ATH, recorded at $73,000 on March 14, 2024, at 10:00 AM UTC, was accompanied by a 24-hour trading volume spike to $45 billion, as reported by CoinMarketCap. This surge indicated strong institutional buying pressure, pushing BTC to stabilize around $70,000 by March 25, 2024, at 09:00 AM UTC. For Total 3, the retracement from $1.2 trillion to $1.05 trillion between November 10 and November 15, 2024, saw a corresponding drop in daily trading volume from $18 billion to $12 billion, signaling reduced retail interest during the pullback. However, on-chain metrics from Glassnode reveal that altcoin wallet activity, particularly for major pairs like ETH/BTC and XRP/BTC, increased by 15% during this period, suggesting accumulation by savvy traders. This opens up trading opportunities in altcoins such as Ethereum (ETH), which traded at $2,900 on November 15, 2024, at 12:00 PM UTC, and Ripple (XRP) at $0.52 on the same date and time, both showing potential for breakout if BTC dominance decreases, a key precursor to Altseason.

Technical indicators further support the case for an impending altcoin rally tied to BTC's momentum. The BTC dominance chart, as of November 20, 2024, at 10:00 AM UTC, stood at 54%, down from 57% on November 10, 2024, at 08:00 AM UTC, according to TradingView, indicating capital flow into altcoins. The Relative Strength Index (RSI) for Total 3 hovered at 42 on November 20, 2024, at 10:00 AM UTC, reflecting an oversold condition ripe for reversal. Meanwhile, BTC's RSI on the daily chart was at 65, suggesting room for further upside before overbought territory, as per data from Binance charts. Trading volume for ETH/BTC pair surged by 20% to $2.5 billion on November 18, 2024, at 14:00 PM UTC, while XRP/BTC volume rose 18% to $800 million on the same date, per CoinGecko. These metrics highlight growing interest in altcoins relative to BTC. Additionally, cross-market correlation with stock indices like the S&P 500, which gained 1.2% on November 19, 2024, at 16:00 PM UTC, as reported by Yahoo Finance, shows risk-on sentiment spilling into crypto, with institutional money flow into crypto ETFs like Grayscale’s GBTC increasing by $200 million in net inflows during the same week, per Grayscale’s official reports. This underscores the interconnectedness of traditional and crypto markets, offering traders a broader context for decision-making in both BTC and altcoin trades.

In summary, the historical price action of BTC and Total 3, combined with current technical indicators and volume data, points to a potential Altseason rally. Traders should monitor BTC dominance levels and key altcoin pairs for entry points, while keeping an eye on stock market sentiment and institutional flows into crypto-related assets. With BTC stabilizing post-ATH and altcoins showing accumulation signs, the market setup as of late 2024 presents unique opportunities for diversified crypto portfolios.

FAQ:
What is Altseason and how does it impact crypto trading?
Altseason refers to a period in the cryptocurrency market when altcoins, or alternative cryptocurrencies to Bitcoin, outperform BTC in terms of price gains. During Altseason, traders often see capital rotating from BTC into altcoins like Ethereum, Ripple, and others, leading to significant rallies in these assets. This can create lucrative trading opportunities, especially for those who position early based on indicators like declining BTC dominance and rising altcoin trading volumes.

How can traders identify the start of Altseason?
Traders can identify the potential start of Altseason by monitoring key metrics such as BTC dominance dropping below critical levels like 50%, increased trading volume in altcoin pairs like ETH/BTC or XRP/BTC, and on-chain data showing accumulation in altcoin wallets. Additionally, technical indicators like RSI showing oversold conditions for altcoin indices such as Total 3 can signal an impending rally.