TL;DR
- Glassnode’s Altcoin Cycle Signal shifted from Bitcoin season to altcoin season for the first time since January 2026.
- The signal compares BTC’s performance against a market-cap-weighted basket of the top 250 cryptocurrencies, excluding stablecoins.
- Bitcoin surpassed $87,000 on Monday, ETH climbed above $2,700, and total market capitalization reached $3 trillion.
The crypto market recorded a major signal shift this week: Glassnode‘s Altcoin Cycle Signal moved from Bitcoin season to altcoin season, indicating that the rally which began concentrated in Bitcoin has spread to the rest of the market.
The on-chain analytics firm published that the first leg of the August rally left alternative cryptocurrencies relatively flat while BTC advanced, but that the more recent move “ignited full market breadth.”
The signal in question compares Bitcoin’s performance against a market-cap-weighted basket of the top 250 cryptocurrencies, excluding stablecoins. High readings indicate that altcoins are outperforming BTC; low readings signal that leadership remains with the first cryptocurrency.
The altcoin cycle signal has just flipped from bitcoin to altcoin season.
The first rally in August saw altcoins stay relatively flat while BTC moved.
However, today's rally has ignited the full breadth of the altcoin market. pic.twitter.com/vPf5lXiEUg
— glassnode (@glassnode) September 21, 2026
Macro Context of the Altcoin Season
The signal shift occurred following an adverse macroeconomic week. The United States Senate voted against advancing the CLARITY Act and the Federal Reserve raised interest rates for the first time since July 2023, pushing Bitcoin down to a low near $75,000. From there, the cryptocurrency recovered its 50-week moving average and climbed above $80,000, before breaking through $87,000 on Monday, a level it had not reached since late January.
Bitcoin is currently trading above $86,000, with almost no change over the past 24 hours but posting a 10% gain on a weekly basis. Ethereum also recorded a 10% weekly gain to surpass $2,700.
Bullish Boom
Among the largest-cap cryptocurrencies, BNB crossed $800 for the first time since January, XRP moved from $1.40 to surpass $1.50, and Dogecoin led gains in that segment with a jump of more than 15% on the day. According to CoinMarketCap, total market capitalization exceeds $2.92 trillion, with Bitcoin maintaining a dominance of 57%.
Glassnode also noted that Bitcoin was trading above the True Market Mean and the short-term holders’ cost basis, levels that have historically defined sustained bullish trends. However, analyst Darkfost warned that the Elliott wave count and the daily RSI divergence could anticipate a correction toward $74,500 before a new upward extension.
