Bitget CEO Gracie Chen has warned that the long-anticipated altcoin season is unlikely to arrive in 2025 or even 2026, signaling a dramatic shift in overall crypto market sentiment.
Liquidity, momentum, and institutional focus are increasingly shifting away from these alternative cryptocurrencies, limiting investor attention and weakening price volatility. The message is clear. The golden age of altcoin speculation seems to be on pause, if not completely over.
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Is the altcoin season completely over?
In a recent post on X (formerly Twitter), Chen stated that altcoins are “disappearing.” She explained that the “black swan” event on October 11 caused severe damage to the altcoin market. This exacerbated an already fragile environment in which VC funding for early-stage Web3 projects had been dry for over a year.
“Retail investors trading altcoins face a horrendous risk-reward ratio. Let’s be real: altcoin season will not come in 2025 or 2026,” Chen wrote.
Chen added that big capital is becoming increasingly risk-averse, reflecting broader market caution. He noted that weekly trading volumes across centralized exchanges (CEXs) have fallen by 20% to 40%, with several major market makers struggling to liquidate due to overleverage.
Bitget’s CEO described the current stage as the “doubt” stage of the market cycle. This sentiment is reflected in the Crypto Fear and Greed Index, which stands at 30 at the time of writing.
He stressed that markets need time to recover and traders need to proceed with discipline. She says there may still be only a handful of projects tied to real-world use cases, such as stablecoins, real-world assets (RWA), and payment infrastructure.
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However, Chen pointed out that many of these projects are unlikely to issue tokens, further reducing opportunities in the altcoin space.
Bitcoin season is back – and altcoins may not recover anytime soon
The changes Chen describes aren’t just emotional; they’re also visible in the numbers. 10x Research recently reported that while altcoins are facing declining liquidity, momentum is firmly shifting towards Bitcoin.
“Altcoins have underperformed Bitcoin by an astonishing $800 billion this cycle. It is retail investors who are left behind. Social media continues to promise another ‘alt season,’ but the data tells a different story,” the post reads.
The market intelligence firm added that even retail traders in South Korea, once known for promoting altcoin speculation, are turning their focus to crypto-related stocks. Previously, BeInCrypto also pointed out that crypto stocks have risen significantly this year, outpacing BTC.
“Liquidity, momentum, and belief have all moved elsewhere, leaving the altcoin market eerily quiet. Meanwhile, financial institutions are shaping this cycle in ways few expected, and retailers may not yet understand what that means,” 10x Research added.
Market indicators confirm this economic downturn. The Altcoin Season Index, which measures whether 75% of the top 50 non-stablecoins outperformed Bitcoin over a 90-day period, plummeted to 37. This marked the lowest level since mid-July, and “Bitcoin season” is firmly in place.
Additionally, the sudden drop in discussion around altcoins in October reflects a growing sense of fatigue. Taken together, these signals paint a bleak picture of the altcoin’s upside potential.
