Crypto Market Still Awaiting True Altseason Breakout as Bitcoin Dominance Remains

I believe that the current market sentiment suggests that we are still in a phase of rally within Bitcoin's leadership, rather than a full-blown altseason. Although Ethereum's breakout above key resistance levels and the recent surge in certain altcoins indicate bullish momentum, the performance across the altcoin spectrum remains uneven. Large-cap and mid-cap altcoins are recovering steadily, but small-cap tokens, often indicators of an imminent altseason, are still lagging behind. Historical patterns show that genuine altseasons are characterized by broad outperformance of altcoins over Bitcoin, especially in mid- and small-cap segments. The fact that this hasn’t been fully observed in the current cycle suggests we might not be at that critical mass yet. The market's overall capital is still heavily concentrated in established assets, hinting that a more widespread rotation is needed to confirm the start of altseason. Moreover, the crypto market cap excluding Bitcoin is approaching key resistance at around $1.6 trillion, which could either lead to a acceleration of capital flow into altcoins if broken or a pause if it fails. As such, I recommend remaining cautious. While opportunities for substantial gains exist, especially if the market breaks resistance, investors should wait for more tangible signs of broad altcoin outperformance across all segments before expecting a full altseason move. In summary, the current data favors a scenario where altcoins are rallying, but the decisive shift that defines altseason might still be pending. Watching for a sustained rally in mid- and small-cap altcoins and a successful breach of key resistance levels will be critical in confirming the next phase.