Is the crypto world on the brink of another altcoin season? Market analysts suggest that 2026 could mark the beginning of a new trend for altcoins, with several key indicators signaling a potential shift. After the challenges of 2025, marked by declines across major assets, new patterns are emerging that may indicate brighter days ahead for the broader cryptocurrency market.
1. Bullish Weekly Divergences on Major Altcoins
The first promising indicator is the development of bullish divergences on weekly charts for several altcoins. This technical pattern emerges when prices reach lower lows while indicators, like the Relative Strength Index (RSI), form higher lows. It suggests that bearish momentum is waning, increasing the likelihood of a trend reversal.
Market expert Michaël van de Poppe highlights altcoins like Optimism (OP), Arbitrum (ARB), Near Protocol (NEAR), and Avalanche (AVAX) as assets showing these trends. According to him, “The weekly timeframe is one of the strongest indicators to spot long-term market shifts, and this year could usher in significant growth for the Web3 industry.”
2. A Breakout in the Others.D Index
Another key metric to watch is the Others.D index, which measures the market dominance of cryptocurrencies outside the top 10 by market capitalization, including altcoins beyond Bitcoin and Ethereum. Analysts note that the index is preparing to break out of its multi-year wedge pattern—a bullish technical signal.
According to data from Bitcoinsensus, the Others.D index currently sits at approximately 6.88%, with an upside target of 13.77% if a breakout occurs. A similar breakout in 2021 set the stage for one of the most prolific altcoin seasons in recent memory, and experts believe this trend may repeat in 2026.
Additionally, Bitcoin’s dominance is starting to show signs of rejection at a multi-year trendline. Historically, such rejections have preceded major rallies for altcoins.
3. Altcoin Trading Volume Remains Strong
The third significant signal lies in altcoin trading volume. Despite relatively weak prices and low retail participation, on-chain analysts such as CW8900 have noted unusually high activity in altcoin markets relative to previous cycles. Much of this activity is driven by crypto “whales,” who accumulate assets at lower prices in anticipation of a market surge.
“The data shows that altcoin trading activity is at historic highs, even without retail traders,” says CW8900. “This dominance by whales could drive significant price increases as the market recovers.”
Skepticism Persists Despite Technical Indicators
Despite these bullish signals, the crypto community remains divided. Some critics, including Bitget CEO Gracy Chen, argue that larger market conditions may prevent a fully-fledged altcoin season in the next two years. Nevertheless, the combination of technical strength and whale activity could pave the way for explosive growth if conditions align.
Investing in Emerging Altcoins
If you’re looking to position yourself ahead of a potential altcoin season, consider exploring robust projects like Avalanche or Near Protocol. Tools such as Kraken Exchange simplify the trading process for both beginners and experienced investors, offering secure access to a wide range of cryptocurrencies.
The ultimate question remains: will these indicators translate into a market-wide rally, or will they fade to the background amid broader skepticism? Only time will tell as 2026 unfolds.
