Altseason Index (Top 10): A Comprehensive Guide to Market Trends

Overview

The Altseason Index (Top 10) is a powerful tool designed to identify whether the cryptocurrency market is in an altseason (where altcoins outperform Bitcoin) or a Bitcoin season. This indicator analyzes the performance of 9 top altcoins—ETH, BNB, ADA, XRP, SOL, DOT, AVAX, SHIB, and LINK—against Bitcoin over a 90-day period. Inspired by the Blockchain Center Altcoin Season Index, it provides actionable insights for traders and investors.

How the Altseason Index Works

Key Calculations

Price Change Analysis:
- Tracks the 90-day price change for BTC and the 9 selected altcoins.
- Compares each altcoin’s performance against Bitcoin.
Index Formula:
- Counts the number of altcoins outperforming BTC.
- Calculates the index as:
```
Index = (Number of Outperforming Altcoins / 9) * 100  
```
Interpretation:
- >75%: Altseason (green zone) — Altcoins dominate.
- <25%: Bitcoin season (red zone) — BTC leads.
- 25–75%: Neutral — Mixed market conditions.

Visualizing the Index

Chart Features

Blue Line: Represents the index value (0–100).
Green Line (75): Threshold for altseason.
Red Line (25): Threshold for Bitcoin season.
Background Colors:
- Green for altseason.
- Red for Bitcoin season.

How to Use the Altseason Index

Practical Applications

Above 75%: Consider allocating more to altcoins.
Below 25%: Focus on Bitcoin or stable assets.
Neutral Zone: Monitor trends before making decisions.

👉 Learn more about optimizing crypto portfolios

Compatibility Notes

Ensure ticker symbols match your exchange (e.g., BTCUSD or BINANCE:BTCUSDT).
Best viewed on daily charts but adaptable to other timeframes.

Limitations

Limited to 9 Altcoins: Due to TradingView’s request.security() restrictions.
Timeframe Sensitivity: Results may vary based on the selected period.

FAQs

What is an altseason?

An altseason occurs when altcoins consistently outperform Bitcoin, often signaling high-risk, high-reward opportunities.

Why track only 9 altcoins?

TradingView’s API constraints limit the number of assets analyzed, but these 9 represent major market movers.

Can I use this for short-term trading?

While optimized for daily charts, traders can adjust settings for shorter timeframes (e.g., 4-hour).

👉 Explore advanced trading strategies

How accurate is the index?

It reflects historical trends but should be combined with fundamental analysis for best results.

Final Notes

This open-source script upholds TradingView’s transparency ethos. Always verify data and adhere to platform rules.

Disclaimer: This content is for educational purposes only—not financial advice. Conduct independent research before trading.