Data from CoinGecko reveals that the concentration of Ethereum (ETH) in large whale wallets—holding 10,000 ETH or more—has climbed to 75.74% of total supply. This is the highest level of concentration among major holders since May 2017, a development that Santiment experts describe as a "powerful bullish signal" for Ethereum's future trajectory.

The XRP network is also seeing bullish on-chain activity. The number of wallets holding more than 1 million XRP has reached an all-time high of 2,743, along with a corresponding increase in the aggregate amount of XRP they control. Both trends are seen as "very positive indicators" for Ripple's native asset, according to Santiment.

Altseason Momentum Hinges on Bitcoin Stability

Santiment’s analysts argue that the altseason is likely to persist as long as Bitcoin maintains support above the crucial $110,000 psychological level. In such an environment, traders are comfortable reallocating profits from Bitcoin’s rally into other digital assets, fueling further gains across the altcoin sector.

However, the team also warns that caution is warranted. One of the main red flags is the current MVRV ratio (market value to realized value) for Bitcoin, which has surpassed levels observed during the previous all-time high in May. Historically, an elevated MVRV ratio has preceded major corrections, highlighting the importance of vigilance as the market approaches overheated territory.

BTC MVRV ratio signals increased risk of correctionBTC MVRV ratio signals increased risk of correction. Source: Santiment

Meme Coin Segment Takes the Lead—A Sign of Market Greed?

Santiment notes that the meme coin segment posted the highest weekly growth across all sectors, up 17%. While impressive, this leadership by highly speculative assets is viewed as a potential late-stage signal in the current rally. As Santiment put it: "When speculative assets lead the market, it often signals that greed is peaking."

For Ethereum, one of the warning signs is the level of bullish sentiment—now approaching extreme optimism. Historically, such sentiment often signals a short-term price peak, according to Santiment analysts.

Altcoin season index remains low as BTC dominatesAltcoin season index remains low as BTC dominates. Source: Santiment

Bitcoin Still Dominates—True Altseason Yet to Begin?

The CoinMarketCap Altcoin Season Index currently stands at 27, suggesting traders continue to favor Bitcoin in their portfolios. Bitcoin’s dominance rate remains elevated at 62.5%. Still, analysts such as Matthew Hyland emphasize that, despite strong altcoin gains, the real altseason may not begin until Bitcoin’s dominance drops to the 45% range.

Meanwhile, Adam Back, co-founder and CEO of Blockstream, has called the boom in corporate Bitcoin treasuries a lucrative alternative to the traditional altseason narrative.