Indicators Point to a Possible Altcoin Season This November

After months of volatility, altcoins are starting to gain attention again. The October crash hurt confidence, but market trends are slowly improving. Some analysts remain cautious, but early signs suggest November 2025 could start a new altcoin season.

Bitcoin Dominance and Capital Rotation

Bitcoin Dominance (BTC.D) remains a key metric for tracking potential market rotations. It measures Bitcoin’s share of the overall cryptocurrency market capitalization and can indicate shifts in capital toward altcoins.

After dropping steadily since June, BTC.D rose in September but has not returned to its previous highs. The indicator stands at 59.3% now. Experts, including Matthew Hyland, suggest, that the general trend remains negative, meaning the recent rebound may not be sustained.

The reason why you should have confidence in the Alt coin price action is because the #BTC Dominance chart looks bearish and has looked bearish for many weeks

The downtrend is favorable to continue therefore this relief rally has been a dead cat bounce in a downtrend: https://t.co/QgduZZ3Qxq pic.twitter.com/5RlgY3CRG2

— Matthew Hyland (@MatthewHyland_) November 8, 2025

Michaël van de Poppe compares this to late 2019 and early 2020, when Bitcoin dominance first dropped, recovered briefly, and then fell again before altcoins gained strongly.

Where are we in the cycle?

We're at the stage of Q4 2019, Q1 2020.

The period where nobody believed in #Altcoins in the previous cycle.

The #Bitcoin dominance has just seen it's first drop, I expect the second one to come in during this quarter. pic.twitter.com/uyWXkjkrR8

— Michaël van de Poppe (@CryptoMichNL) November 9, 2025

A head-and-shoulders pattern on BTC.D charts also points to possible moves into altcoins.

🚨(Bitcoin Dominance)🚨$BTC.D is printing a head and shoulders setup, classic bearish structure. If it plays out, dominance drops and altcoins start printing. Rotation season might be closer than most think. pic.twitter.com/QQOub6EnEH

— Don (@DonaldsTrades) November 9, 2025

A drop in BTC dominance typically signals a shift toward riskier assets. If this trend persists, altcoins might see better performance relative to Bitcoin soon.

Shifts in Market Psychology

Sentiment in the market matters for timing altcoin rallies. The biggest altcoin cycles usually start when doubt is widespread and confidence is weak. Analyst Merlijn said that past seasons often began during these low-sentiment moments.

ALTCOIN SEASON STARTS WHERE EVERYONE GIVES UP.

Same base. Same wedge. Same disbelief.
Every previous altseason was born here.

Bitcoin cools. Liquidity rotates.
It’s time for the real fireworks. pic.twitter.com/WouuNt0uEB

— Merlijn The Trader (@MerlijnTrader) November 9, 2025

Recent small gains in altcoins show that retail investors are slowly returning. These moves hint at a change from apathy to careful optimism, often signaling bigger trends ahead.

Social media activity supports this view. Communities around altcoins are more active, showing renewed interest. If institutional investors also step in, this early optimism could grow even stronger.

Overall, minor variations in market sentiment can produce significant effects, with altcoins usually showing stronger reactions to optimism than Bitcoin.

Liquidity and Potential Catalysts

Altcoin performance could be supported by higher liquidity. The Federal Reserve is expected to resume quantitative easing on December 1. Such steps usually raise liquidity, reduce borrowing costs, and encourage risk-taking. This often brings more investment into altcoins, which move more than Bitcoin.

Investment from both retail and institutional investors could boost overall market momentum. History shows that when liquidity rises while BTC dominance falls, altcoins often gain early.

Still, caution is important. A full altcoin season may not start immediately. Early rallies can be brief or speculative, and lasting growth requires continued investment and favorable economic conditions.

We are not in Altseason.

Selective alts pumping isn't a sign of Altseason.

Until Altcoin MCap excluding stables breaks a new ATH, we won't see any prolonged rally in alts. pic.twitter.com/Kjns4HWj82

— Ted (@TedPillows) November 8, 2025

Key Factors to Monitor

Early signs suggest November 2025 could bring chances for altcoins. Lower Bitcoin dominance, changing sentiment, and more liquidity may support higher-risk assets. Both retail and institutional investors seem interested again.

Still, caution is needed. Early gains could be temporary, and a full altcoin season will depend on steady investment and the broader economy.