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As Bitcoin (BTC), which has long dominated the digital asset market, begins to show signs of weakening with indications of a dead cross, anticipation is reaching a peak that a massive altcoin season could arrive in 2026, fueled by expectations of new regulatory easing in the United States.
According to crypto-focused outlet Finbold on March 10 (local time), Bitcoin dominance remained trapped in a narrow range between 60% and 58.8% from Jan. 1 to March 10, delaying the onset of an altcoin season. However, prominent crypto trader TATrader_Allan analyzed that Bitcoin dominance has broken down from a descending pennant pattern on the weekly chart, signaling the beginning of a full-fledged trend reversal.
The analyst noted that Bitcoin dominance has already formed a lower low on the weekly chart, indicating the possibility of another large-scale capitulation in the coming weeks. According to CoinMarketCap data, the Altcoin Season Index has risen from 22 in early February to 37 currently, significantly increasing the likelihood of a 2026 altcoin season reminiscent of the “crypto summer” of 2021.
Crypto trader Matthew Hyland also predicted, based on technical analysis, that the upcoming altcoin season could replicate the performance seen in 2021. He argued that if an imminent dead cross occurs on Bitcoin dominance’s monthly chart, it could trigger a sharp collapse below 40%. Furthermore, if institutional capital inflows and broader retail adoption accelerate, some optimistic projections suggest the current cycle could surpass 2021 and rival the legendary bull market of 2017.
The ultimate catalyst expected to complete this altcoin rally is the passage and enactment of the U.S. crypto market structure bill, known as the CLARITY Act. Charles Hoskinson, founder of Cardano (ADA), previously pointed out that delays in passing the bill in 2025 were a major factor behind the failure of a sustained bull market. With President Donald Trump strongly supporting the passage of digital asset market structure legislation within the year, the altcoin rally appears well positioned to gain full momentum before year-end.
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