- Bitcoin dominance has pushed the TOTAL3/BTC ratio to historic lows near 0.13.
- Past 243-day accumulation phases in 2016 and 2020 led to explosive altseason peaks.
- Analyst 0xPepesso suggests the market is midway through accumulation before a potential breakout.
The ever-cyclical world of cryptocurrency, patterns from the past often illuminate the path forward. A recent chart shared by crypto analyst @0xPepesso on X highlights a compelling narrative: altcoins are currently at their bottom, poised in the accumulation phase of what could be the next major altseason. The visual, depicting the ratio of total market cap excluding the top 10 cryptocurrencies to Bitcoin (BTC) over monthly intervals, reveals striking repetitions across cycles.
The 2020–2022 DeFi and NFT Surge
Looking back, the chart identifies three key periods, each spanning approximately 243 days of accumulation before peaking. In 2016-2018, the ratio bottomed out before surging during the iconic ICO boom, marking a “Peak Altseason” where alts like Ethereum and Ripple skyrocketed against BTC.
Similarly, the 2020-2022 cycle saw accumulation amid post-COVID recovery, culminating in the DeFi and NFT frenzy of 2021, with the ratio climbing to highs around 0.65. Now, in the 2024-2026 window, we’re witnessing the same script unfold. The ratio has dipped to around 0.13, as shown by the downward arrow in the chart, suggesting alts are undervalued relative to BTC dominance.
Understanding the TOTAL3/BTC Ratio
This metric is crucial because it strips out the influence of mega-caps like BTC, ETH, and stablecoins, focusing on the broader altcoin ecosystem. When this ratio contracts, it signals capital flowing into BTC as a safe haven during bearish or corrective phases.
But history shows this compression is temporary—a setup for explosive growth. @0xPepesso notes we’re only halfway through accumulation, a phase where patient investors build positions in undervalued gems. Factors like regulatory clarity, institutional adoption, and technological advancements in layer-2 solutions and AI-integrated blockchains are quietly fueling this buildup.
For investors, the message is clear: don’t capitulate. While BTC may consolidate or correct, alts are priming for outperformance. Memecoins, DeFi protocols, and emerging sectors like real-world assets (RWAs) could lead the charge. As global economic uncertainties persist, crypto’s resilience shines through. With Bitcoin’s halving effects still rippling and ETF inflows steady, the breakout could propel the ratio back to peak levels, potentially multiplying portfolios.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.
