Altseason Indicator Flashes Early Signs of Major Rotation

TLDR: Altseason indicator shows BTC and ETH losing dominance over the broader market. Weekly RSI divergence signals fading momentum and market compression. Market structure mirrors pre-2021 altseason patterns, hinting at rotation. Selective altcoins with strong utility may lead the next crypto expansion. The altseason indicator update shows early signs that the crypto market may rotate away from BTC and ETH dominance toward altcoins. Historical patterns suggest momentum is weakening, and price structure is compressing ahead of potential altcoin expansion. Market Structure Suggests Altcoin Pressure The altseason indicator tracks the dominance of total stablecoins, BTC, and ETH relative to the broader market. It identifies when capital shifts from major coins to altcoins. Since January, the price has moved sideways within a tight consolidation range. This mirrors the market structure seen before the 2021 altseason, where BTC and ETH dominance first formed a clear distribution zone. Recently, the price pushed into resistance levels, suggesting a potential bull trap. The weekly RSI shows divergence from the price, signaling a gradual weakening of buying momentum. Momentum divergence indicates the market may be coiling for a structural move. Such compression phases can last weeks, yet historically they precede rapid rotations into altcoins. ALTSEASON INDICATOR UPDATE!!! We've been flat since Jan. Weekly RSI is losing steam and the breakdown could come any week now!! Unfortunately time is impossible to predict so It's been a waiting game… I'm expecting (specific) alts to outperform $BTC & $ETH moving… pic.twitter.com/Kc6ihfwMSC — Vuori Trading (@VuoriTrading) March 9, 2026 The current setup reflects a pause between distribution and rotation. During this phase, price may appear stagnant, but capital quietly prepares for the next move. Historical comparisons show that similar patterns led to the largest altcoin expansions of the last cycle. Dominance breakdowns often tri...