Bitwise has filed for 11 crypto Exchange Traded Funds (ETFs) with the US Securities and Exchange Commission to give exposure to altcoins such as Aave, Zcash, and Ethena. While institutional interest is shifting towards altcoins, Bitcoin’s market dominance remains at approximately 60%, indicating a low probability for an altcoin season.
Pi Network (PI) is showing a gradual increase, gaining nearly 1% at press time, following a 0.40% rise from the previous day. The data reflects growing social interest in Pi Network, and a technical analysis points to a potential price rebound supported by a Morning Star pattern.
Bitcoin, Ethereum, and Ripple maintain stability mid-week, showing minor gains from the previous day. Technically, Bitcoin may extend its gains within a triangle formation, while Ethereum and Ripple encounter critical resistance levels above current prices.
We are seeing a clear signal of institutional interest moving towards altcoins with the recent Bitwise ETF filings for assets like Aave and Ethena. However, with Bitcoin’s dominance holding firm near 60%, a full-blown altcoin season is not yet guaranteed. This sets up a classic tension for the start of the year, pitting institutional flows against the market’s current structure.
As we close out 2025, the market is in a typical year-end lull, leading to compressed implied volatility across the board. Historically, such periods of low volatility, like what we saw in the fourth quarter of 2023 before the spot ETF approvals, are followed by sharp expansions. Buying straddles or strangles on Bitcoin and Ethereum could be a capital-efficient way to position for a potential breakout in early 2026.
The 60% Bitcoin dominance level remains the most critical chart to watch heading into the first quarter. Data from crypto analytics firm Kaiko shows that open interest for January Bitcoin options expiry is already at a record $15 billion, suggesting traders are positioned for a major move. A sustained break below this dominance level could trigger significant fund rotation, making long altcoin baskets versus a short Bitcoin hedge an attractive strategy.
While institutional attention is on potential ETF candidates, we must also note the rising social dominance around assets like Pi Network. This surge in retail interest, reflected in a 25% increase in social media mentions over the past month according to Santiment data, indicates that high-beta, narrative-driven trades remain in play. Using small, speculative positions in perpetual futures on these coins could offer outsized returns if the retail momentum continues.
