- Altcoins show renewed strength as the OTHERS/BTC ratio forms a five-year bullish divergence, signaling a potential market shift.
- After a multi-year decline, the OTHERS/BTC ratio rebound from 2024 lows suggests altcoins may be entering a new growth phase.
- Historical patterns and rising volume around 0.13 indicate the altcoin market could be poised for a major cyclical reversal.
The OTHERS/BTC ratio, a key metric tracking altcoin market capitalization relative to Bitcoin, shows signs of a major shift. The latest data from TradingView reveals a bullish divergence that has held strong across a five-year timeframe. The ratio now stands at 0.13 after a slight daily drop of 0.01, or -0.05%. This signal marks the strongest and longest bullish divergence in the chart’s history. The data points to a potential resurgence for altcoins after enduring a multi-year decline.
Beginning in 2020, the OTHERS/BTC ratio hovered near -0.40. This indicated Bitcoin’s dominant lead over the altcoin market. However, a reversal emerged in late 2020. Altcoins began outperforming Bitcoin in early 2021. Consequently, the ratio surged to 0.37 in mid-2021, confirming altcoin strength. The bullish momentum pushed the ratio to a peak of nearly 0.50 by early 2022.
Sharp Decline and Market Reset
After the 2022 high, the ratio entered a prolonged downtrend. The bear cycle spanned from 2022 through the end of 2023. Several short-term rallies occurred but failed to break the descending trendline. Each bounce created lower highs, showing consistent bearish pressure. By late 2023, the ratio dropped again, reaching -0.30.
Source: Michael Van de Poppe
This level aligned with the “Last period of cycle lows,” marked clearly on the chart. Early 2024 saw further downside as the ratio dipped near -0.40 again. This mirrored 2020 cycle lows. However, a turnaround started forming shortly after.
New Bottoming and Reversal Signs
A new bottoming process began between January and May 2025. The ratio climbed back to 0.13, showing renewed altcoin strength. Additionally, this rebound aligns with historical reversal points, highlighting the cyclical nature of crypto markets. Volume indicators also support this shift, with activity increasing during the bounce phase.
Moreover, green rectangles on the chart identify buying zones, signaling bullish momentum. Conversely, red areas mark resistance zones where sellers could return. The trend aligns with broader market cycles often seen in crypto asset classes.
