This chart breaks down how capital rotates between Bitcoin and the broader altcoin market over time. When Total Crypto Market Cap (blue) pulls away from the Total Altcoin Market Cap (orange), money is flowing more aggressively into alts. This period is known as Alt Season, where explosive altcoin gains often follow declining BTC dominance.

During Salt Season, the opposite happens—BTC dominance strengthens, capital consolidates back into Bitcoin, and altcoins struggle. Extended periods of sideways or declining alt performance create the “Very Salty” zone, where patience is tested and frustration peaks.

Understanding this cycle helps traders position early instead of chasing late. The key idea: divergence favors alts (Alt Season), while convergence favors Bitcoin (Salt Season). Over multiple cycles, these shifts repeat, giving major opportunities for those watching market cap relationships rather than just price charts.