Why Isn’t the Anticipated Major Altcoin Season Happening? Analyst Says “The Delay Is Actually a Good Thing” and Explains Why

Cryptocurrency analyst Simeon Koch evaluated the latest market situation and argued that altcoin investors should be patient.

According to Koch, the delay of the anticipated altcoin season is not a negative situation, but rather a healthy process for the crypto ecosystem.

In his analysis, Koch noted that growing impatience in the crypto market has divided investors into two camps, with some anticipating a strong altcoin rally and others predicting the collapse of all projects except Bitcoin and Ethereum. However, according to Koch, the truth lies somewhere between these two extremes: “The delay in the altcoin season allows Bitcoin to renew confidence and attract liquidity into the market first.”

A report published last week by US exchange Coinbase predicted that an altcoin rally could begin in September. The report noted that altcoin market capitalization has increased by more than 50% in recent weeks, while Bitcoin dominance has fallen from 65% to 59%. Coinbase interprets this decline as an early signal of capital reshuffling. It also estimates that approximately $7.2 trillion in funds is currently held in money market funds, and that some of this money could shift to cryptocurrency with interest rate cuts expected in the fall.

According to Coinbase analysis, the Global M2 Money Supply index, which measures global money supply, trends approximately 100 days ahead of Bitcoin price movements. The latest data suggests a new wave of liquidity could arrive in the fourth quarter of 2025, potentially boosting Bitcoin and altcoin markets.

Koch also highlighted the warnings of renowned analyst Benjamin Cowen. Cowen noted that in every bull cycle, Bitcoin initially instills confidence in the market, leading to a prolonged period of BTC dominance before altcoins perform, saying, “If the altcoin season is delayed, it will come back stronger later.” Cowen argues that this process has played out similarly in past cycles, noting that altcoin rallies typically follow strong gains in Bitcoin and Ethereum.

According to Koch, technical indicators point to a potential breakout in the altcoin market. He noted that the 125 largest altcoins have formed an ascending triangle formation on their monthly charts, noting that this pattern has historically mostly broken upwards. According to the analyst, altcoin market capitalization increased by 320% following a similar formation in the 2021 cycle.

*This is not investment advice.