Altcoin

Bitcoin

THIS

Rekt

Crypto analyst Rekt Fencer tweeted that altcoins are now “more oversold than during COVID, the FTX crash, and the tariff war.” He backed this claim with a chart comparing altcoin performance against Ethereum, showing extreme oversold conditions and potential upside of over 130% if history repeats.
<h3 class="wp-block-heading" id="what-the-chart-shows">What the Chart Shows</h3>
The chart compares the OTHERS/ETH ratio on a two-week timeframe, with highlighted zones marking past oversold levels.
<ul>
 <li>In 2021, altcoins surged 166% from similar conditions.</li>
 <li>In 2023, they rallied again, this time by 125%.</li>
 <li>Today, the chart suggests a possible 132% move ahead, based on the same indicator flashing oversold signals.</li>
</ul>
The lower panel shows an oscillator that has bottomed three times at similar levels – each time preceding a sharp altcoin recovery against ETH. Fencer interprets this as evidence that altcoins are in the “final shakeout” stage before altseason begins.
<blockquote class="twitter-tweet">
 <img src="https://s.w.org/images/core/emoji/16.0.1/72x72/1f6a8.png" alt="🚨" style="height: 1em; max-height: 1em;"> THIS IS THE FINAL SHAKEOUT FOR ALTCOINS Alts are more OVERSOLD than during: COVID FTX Crash Tariff War No one believes anymore That’s exactly why the altseason is coming <a href="https://t.co/7VTU742qmU" target="_blank" rel="noopener noreferrer nofollow">pic.twitter.com/7VTU742qmU</a>— Rekt Fencer (@rektfencer) <a href="https://twitter.com/rektfencer/status/1964377978307313940?ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">September 6, 2025</a>
</blockquote>
<h3 class="wp-block-heading" id="why-some-analysts-remain-skeptical">Why Some Analysts Remain Skeptical</h3>
While the oversold signal is compelling, relying only on these indicators has its risks. Altcoin recoveries in the past were not driven by technicals alone – they aligned with broader shifts in ETH and BTC dominance, as well as liquidity trends in the crypto market.
At present, BTC dominance remains stable just below 60%, which is still historically high. A sharp slide in Bitcoin dominance has often preceded altseasons, but we haven’t seen that yet.
Meanwhile, ETH dominance is slightly under 14%. For context, <a href="https://captainaltcoin.com/how-to-prepare-now-for-altseason-as-ethereum-price-nears-ath/" target="_blank" rel="noopener noreferrer nofollow">ETH dominance peaked near 15% in August </a>during its recent rally, and historically altseasons have kicked off when ETH dominance climbs closer to 16%. This suggests the conditions may not be fully aligned for a broad altcoin breakout just yet.
Read also: <a href="https://captainaltcoin.com/not-altseason-we-are-in-ethereum-season-heres-why/" target="_blank" rel="noopener noreferrer nofollow">Not Altseason, We Are in Ethereum Season – Here’s Why!</a>
<h3 class="wp-block-heading" id="opinion-the-signal-isn-t-enough">Opinion: The Signal Isn’t Enough</h3>
Rekt Fencer’s optimism is understandable – oversold conditions often do create attractive entry points. But the crypto market is far more complex than one chart. Liquidity flows, ETF-driven capital rotation, and macroeconomic events could easily delay or mute any altcoin rally.
For now, the data shows that altcoins may be due for a bounce. But to call this the “final shakeout” might be premature unless BTC dominance breaks down further and ETH regains strength above 15–16% dominance. Until then,<a href="https://captainaltcoin.com/altseason-confirmed-ethereum-ath-after-powells-fed-pivot-bitcoin-pumps/" target="_blank" rel="noopener noreferrer nofollow"> altseason remains a possibility </a>– not a certainty.
Subscribe to <a href="https://www.youtube.com/@Captain-Altcoin" target="_blank" rel="noopener noreferrer nofollow">our YouTube channel</a> for daily crypto updates, market insights, and expert analysis.
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The post <a href="https://captainaltcoin.com/heres-the-exact-reason-why-altseason-is-about-to-begin-but-theres-a-catch-for-eth-and-btc-traders/" rel="noopener noreferrer nofollow">Here’s the EXACT Reason Why Altseason Is About to Begin, But There’s a Catch for ETH and BTC Traders</a> appeared first on <a href="https://captainaltcoin.com" rel="noopener noreferrer nofollow">CaptainAltcoin</a>.

Here’s the EXACT Reason Why Altseason Is About to Begin, But There’s a Catch for ETH and BTC Traders

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