Altcoins gain momentum as Ethereum leads – Is broader adoption next?

ambcryptoPublished on 2026-01-18Last updated on 2026-01-18

Abstract

The Altcoin Season Index fell to 35, signaling a critical phase as Bitcoin dominance weakened and capital rotated into altcoins. Ethereum showed resilience against Bitcoin, holding key support and testing a long-term trendline. The total crypto market cap excluding Bitcoin remained stable, forming an ascending triangle pattern suggesting potential accumulation. Several altcoins, including Monero, Chiliz, and MYX, posted significant gains, with privacy-focused assets performing strongly. Ethereum's leadership is seen as central to sustaining altcoin momentum. If the trend continues, broader altcoin adoption may follow, though failure to hold support could lead to short-term downside pressure.

The Altcoin Season Index fell to 35, marking the altcoin market’s entry into a critical phase. Bitcoin dominance weakened, prompting capital rotation into alternative assets.

Market structure indicated that altcoins were preparing for an expansion phase. Ethereum emerged as a leading driver of sentiment in the altcoin market.

Bitcoin dominance vs. Ethereum’s strength?

Ethereum showed resilience against Bitcoin, performing well amid broader market volatility. As of this writing, ETH/BTC traded at 0.03484. It held above its 2025 dip and support level despite market fluctuations.

Ethereum continued testing its long-term descending trendline, which has remained intact since 2017. Could the MACD’s early signs of a bullish crossover indicate strengthening relative strength as Bitcoin dominance fades?

Total 2 forms an ascending triangle

The Crypto Total Market Cap, excluding Bitcoin, remained stable around $1.29 trillion. The weekly chart showed an ascending triangle pattern.

This structure reflected consistent accumulation pressure, with a breakout expected to draw capital into altcoins. But could failure to hold the rising support trendline lead to short-term downside pressure?

Altcoin season index falls to 35

The Altcoin Season Index dropped to 35, marking a transitional phase in the market. Although Bitcoin still outperformed most assets, the index showed that some altcoins gained traction.

Similar index levels in the past led to periods of selective altcoin strength. These phases were followed by broader participation in the altcoin market.

Other altcoins join the rally

As the market shifted focus, several altcoins saw strong gains, confirming growing momentum. Monero [XMR] surged 85.39%, Chiliz [CHZ] gained 84.82%, and MYX climbed 82.13%.

Dash [DASH] advanced 70.61%, Zcash [ZEC] rose 60.07%, and Bitcoin Cash [BCH] increased 23.79%.

Privacy-focused assets showed strength in the altcoin market

What’s next for Bitcoin and altcoins?

As Bitcoin dominance softened, the market seemed more receptive to altcoin leadership. Ethereum’s ability to hold ETH/BTC support remained central to market direction.

If altcoins continue building momentum, Ethereum’s leadership will be essential.

Ultimately, the market’s future depends on whether altcoins can sustain momentum while Bitcoin plays a secondary role.


Final Thoughts

  • Altcoins gained momentum, with Ethereum leading the charge as Bitcoin dominance faded.
  • Privacy coins showed strength, and investing in utility-based altcoins continued to expand as momentum was sustained.

Related Questions

QWhat is the current Altcoin Season Index and what does it indicate about the market phase?

AThe Altcoin Season Index has fallen to 35, indicating that the altcoin market has entered a critical and transitional phase where Bitcoin still outperforms most assets, but some altcoins are beginning to gain traction.

QHow is Ethereum performing against Bitcoin (ETH/BTC) and what is the significance of its price level?

AEthereum is showing resilience against Bitcoin, with ETH/BTC trading at 0.03484. It is holding above its 2025 dip and a key support level, which is central to the overall market direction and altcoin sentiment.

QWhat chart pattern is formed by the total crypto market cap excluding Bitcoin, and what does it suggest?

AThe total crypto market cap excluding Bitcoin, known as 'Total 2', is forming an ascending triangle pattern on the weekly chart. This reflects consistent accumulation pressure and suggests a potential breakout that could draw more capital into altcoins.

QWhich specific altcoins have shown the strongest recent gains according to the article?

AMonero (XMR) surged 85.39%, Chiliz (CHZ) gained 84.82%, and MYX climbed 82.13%. Dash (DASH) advanced 70.61%, Zcash (ZEC) rose 60.07%, and Bitcoin Cash (BCH) increased 23.79%.

QWhat is identified as a key factor for the future of the altcoin market?

AA key factor for the future is whether altcoins can sustain their current momentum while Bitcoin plays a secondary role, with Ethereum's leadership and its ability to hold support against Bitcoin being essential to this process.

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