70% of Binance Altcoins Recover But Altcoin Season Index Tells Another Story

Altcoins have climbed back above a key level on Binance, with 70% now above their 200-day average. A separate gauge of altcoin strength has moved in the opposite direction.

Blockchaincenter’s Altcoin Season Index fell to 41 on September 20. The reading sits 34 points below the level that historically confirms an altcoin season.

Altcoin Market Cap Reclaims $800 Billion

The total cryptocurrency market capitalization has gained 3.7% in September, with several altcoins posting sharp rallies despite macroeconomic and geopolitical shocks.

CryptoQuant analyst Darkfost reported that Total3 moved back above $800 billion. The metric tracks altcoin market capitalization excluding Bitcoin (BTC) and Ethereum (ETH). That level had not been reached in more than 8 months.

The move cleared May’s high on a strong daily close. Furthermore, Binance data showed that 70% of altcoins were trading above their 200-day averages, a level last seen in October 2025.

Those same altcoins spent nearly a year sitting 65% to 85% below that average. Bitcoin, meanwhile, has traded within a range of $75,600 to $82,000.

Ash Crypto pointed to another bullish setup on a chart excluding the top 10 assets.

The last time the Altcoin market broke out of a major monthly downtrend, it went parabolic within 9 months. We’re seeing a very similar setup again. If history repeats, this could be the early stage of another Altcoin season. pic.twitter.com/PEkJ8KERc9

— Ash Crypto (@AshCrypto) September 17, 2026

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Why the Two Signals Point in Opposite Directions

The improved price structure does not necessarily mean altcoins are outperforming Bitcoin. The Altcoin Season Index measures the percentage of the top 50 altcoins that have outperformed Bitcoin over a 90-day period. 

With the index at 41, fewer than half of those assets have beaten BTC over that timeframe. The index peaked near 67 in August. Relative strength has weakened since then.

Bitcoin dominance also supports this view. The metric stood at 59.34% on September 20, up 0.5% over the previous three days.

In other words, altcoins have recovered against the dollar without yet showing broad-based strength against Bitcoin.

One Bitcoin-denominated measure, however, points to a possible shift. The ETH/BTC ratio was near 0.03238 and had recently tested against a downtrend in place since 2021, according to Ash Crypto.

The breakout is still recent, and the ratio remains well below its 2021 peak. It therefore provides an early signal rather than confirmation of a broader altcoin rotation.

Darkfost also cautioned that the market’s improving structure could reverse quickly.

“But be careful, this kind of development can shift quickly, so caution remains warranted,” analyst Darkfost said.

For the Altcoin Season Index to confirm a broader rotation, altcoins would need to continue outperforming Bitcoin across its 90-day measurement period.

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