Imagine a decentralized financial universe where Bitcoin is just the foundation. That is exactly the reality of the current cryptocurrency ecosystem. While Bitcoin remains the dominant heavyweight, thousands of alternative cryptocurrencies have emerged since 2009, creating a complex and dynamic digital landscape.
The term “altcoin”—a contraction of “alternative” and “coin”—refers to any cryptocurrency other than Bitcoin. Like different vehicles designed to meet specific needs, each altcoin was created to solve particular problems or offer features that Bitcoin does not provide. Litecoin, the first altcoin launched in 2011, perfectly illustrates this logic: created to process transactions faster, it paved the way for the diversified ecosystem we know today.
Today, over 16,500 cryptocurrencies coexist in the market. While Bitcoin accounts for approximately 45% of the total market capitalization, altcoins make up the remaining 55%, demonstrating their growing importance in the decentralized digital economy.
Key Points to Remember
Altcoins encompass all cryptocurrencies other than Bitcoin, representing over 16,500 digital assets with distinct technologies and use cases
Several categories of altcoins serve specific objectives: stablecoins pegged to fiat currencies, utility tokens, governance tokens, and even memecoins
By April 2025, the total market capitalization of altcoins will reach about 1.4 trillion dollars
Major altcoins include Ethereum, Solana, Cardano, Litecoin, as well as major stablecoins like USDT and USDC
The domination of altcoins and market capitalization are key indicators for detecting market trends and opportunities
Altcoin Season refers to periods when alternative cryptocurrencies collectively outperform Bitcoin, creating trading opportunities
Although altcoins offer greater growth potential, they also expose investors to higher risks, including increased volatility and limited liquidity
A rigorous research process is essential before investing, covering team, technology, tokenomics, and real utility of the project
Personal security via hardware or software wallets remains crucial to protect your cryptocurrency holdings
Comprendre les altcoins : définition et différenciation par rapport au Bitcoin {#section1}
To grasp the essence of altcoins, first clarify the fundamental concepts of the crypto ecosystem:
A “coin” is a cryptocurrency operating on its own dedicated blockchain. Bitcoin runs on the Bitcoin blockchain, Ethereum on its own blockchain, etc. These are native currencies of their respective networks.
An “altcoin” refers to any cryptocurrency other than Bitcoin. Some consider that altcoins include all cryptocurrencies except Bitcoin and Ethereum, the two dominant and long-established ones.
A “token” is a cryptocurrency operating on the blockchain of another cryptocurrency, without its own underlying infrastructure. Many tokens operate on the Ethereum network, leveraging its infrastructure while serving different purposes.
Two major classifications of altcoins
First category: altcoins sharing a similar codebase to Bitcoin but modified to incorporate new features
Second category: altcoins developed from scratch, with entirely different code and mechanisms
Most altcoins aim to address Bitcoin’s identified limitations: transaction speed, energy consumption, privacy capabilities, or application versatility. Each altcoin offers a unique value that sets it apart from Bitcoin and other cryptocurrencies.
Catégorisation des altcoins : des stablecoins aux memecoins {#section2}
The universe of altcoins is divided into several categories, each serving specific functionalities within the decentralized ecosystem.
Stablecoins: Guaranteed Stability
Stablecoins minimize price volatility by pegging their value to stable assets—US dollar, gold, or others. USDC, USDT (Tether), and DAI are emblematic examples. Unlike most cryptocurrencies, stablecoins maintain a constant value, making them useful for daily transactions and as a refuge during extreme market volatility.
Utility Tokens: Access and Services
Utility tokens grant access to services within a particular blockchain network, functioning as digital keys unlocking features or services on a platform. XRP was designed for international transfers, while MATIC covers transaction fees on the Polygon network.
Payment Tokens: Facilitating Exchanges
These altcoins are specifically designed to function as means of exchange, focusing on efficiency as payment methods with fast transactions and low fees.
Governance Tokens: Democratizing Decisions
Governance tokens give holders voting rights on blockchain project decisions. Owning these tokens is akin to voting on protocol changes, similar to holding shares in a company. Maker (MKR) exemplifies this model, allowing holders to vote on MakerDAO’s operations.
Security Tokens: Ownership and Investment
Security tokens represent ownership of an external asset, similar to traditional financial securities—company shares, real estate parts, or other investments. These tokens are generally subject to securities regulations.
Memecoins: Cultural Phenomena
Memecoins initially emerged as jokes or social satires, gaining popularity through community support. Dogecoin (DOGE) and Shiba Inu (SHIB) illustrate this phenomenon: originating as simple internet memes, they have rallied large user bases. These coins typically have an extremely high, sometimes unlimited, supply, resulting in low unit prices.
Play-to-Earn Tokens: Gamification and Rewards
These tokens fuel blockchain games where players earn cryptographic rewards by playing. Axie Infinity exemplifies this model: players breed, train, and battle fantastical creatures while earning exchangeable tokens.
Top 10 des altcoins en 2025 : leaders de marché et applications {#section3}
Although thousands of altcoins exist, a handful has established itself as market leaders through utility, adoption, and market capitalization.
1. Ethereum (ETH) : The Premier Decentralized Platform
Ethereum remains the largest altcoin, with a market cap around 440 billion dollars. Unlike Bitcoin focused on monetary function, Ethereum introduced programmable smart contracts that execute automatically when certain conditions are met. This innovation has catalyzed the creation of thousands of applications—financial services, games, digital art marketplaces—leveraging its platform.
2. XRP : Facilitating International Payments
Developed by Ripple Labs, XRP aims to enable fast, low-cost international money transfers. Focused on improving cross-border payments for financial institutions, it offers an alternative to traditional banking systems like SWIFT.
3. Solana (SOL) : High-Speed Blockchain
Solana is known for its exceptional transaction speeds and minimal costs. Its blockchain processes thousands of transactions per second, making it ideal for high-throughput applications—trading platforms or blockchain games.
Cardano adopts a research-based approach to develop its blockchain, emphasizing security and sustainability. Using a proof-of-stake (PoS) consensus mechanism, which is much less energy-intensive than Bitcoin mining, it offers an environmentally friendly alternative.
5. Litecoin (LTC) : Fast Digital Silver
Often called “the silver to Bitcoin’s gold,” Litecoin was one of the first altcoins launched in 2011. It offers faster confirmation times and a different hashing algorithm. With over a decade of existence, Litecoin remains a popular choice for daily payments due to lower fees and widespread adoption.
6. Dogecoin (DOGE) : Community Phenomenon
Originally created as a joke based on an internet meme, Dogecoin has become one of the most recognized cryptocurrencies globally. Despite its humorous origins, it has built a passionate community and attracted public attention, notably through celebrity endorsements. Its accessible price and infinite supply make it popular for tips and microtransactions online.
7. Tether (USDT) : Dominant Stablecoin
As the largest stablecoin by market cap, Tether maintains a value pegged to the US dollar. Each USDT token is backed by reserves ensuring its equivalence to 1 dollar, serving as an essential tool for traders switching between volatile cryptocurrencies and stable assets without fiat currency. It is one of the most traded cryptocurrencies daily.
8. USD Coin (USDC) : Regulated Stablecoin
USDC is a growing regulated stablecoin pegged to the US dollar. Created by the Centre consortium (founded by Circle and Coinbase), it stands out for its transparency, with regular attestations of its dollar reserves. It has become a crucial infrastructure for decentralized finance (DeFi) applications and cross-border payments.
9. Shiba Inu (SHIB) : Evolving Memecoin
Launched in 2020 as an alternative to Dogecoin, Shiba Inu quickly gathered a huge community. Although originating as a memecoin, the project expanded to include a decentralized exchange (ShibaSwap), an NFT platform, and other features. Its extremely low unit price allows investors to hold millions or even billions of units, explaining its popularity among retail investors.
Uniswap transformed crypto trading with its automated market maker model. As one of the largest decentralized exchanges, it allows users to trade tokens directly from their wallets without intermediaries. Holders of the UNI token participate in governance decisions regarding protocol development.
Each of these altcoins offers distinct features and advantages related to Bitcoin, addressing specific market needs and use cases.
Domination des altcoins et capitalisation boursière : métriques clés {#section4}
To make informed investment decisions, understanding two critical market indicators is essential: altcoin dominance and market capitalization.
Altcoin Domination: Capital Flow Indicator
Altcoin dominance is the percentage of the total crypto market value represented by all altcoins, calculated as:
Altcoin dominance = (Total crypto market cap – Bitcoin cap) ÷ Total crypto market cap × 100%
When Bitcoin’s dominance decreases, altcoin dominance increases, signaling a capital inflow into alternative cryptocurrencies. The altcoin dominance chart is a powerful tool for detecting trends:
Rising dominance (generally above 55%) often signals an Altcoin Season, during which altcoins outperform Bitcoin
Falling dominance usually indicates a Bitcoin-centric market, with investors favoring the main cryptocurrency
Historically, altcoin dominance peaked during the 2017-2018 bubble, nearing 67%, and again mid-2021, approaching 60%. These periods coincided with explosive altcoin price growth.
Altcoin Market Cap: Ecosystem Size Measurement
Altcoin market capitalization is the total value of all circulating altcoins. It is calculated by multiplying each coin’s current price by its circulating supply, then summing these values (excluding Bitcoin).
By April 2025, the total altcoin market cap is approximately 1.4 trillion dollars, about 55% of the entire cryptocurrency market. Monitoring this metric provides valuable insights:
Steady growth generally indicates sustained interest in the crypto ecosystem
Sudden peaks may signal excessive speculation or bubble formation
Many investors also track the Bitcoin/altcoin ratio to detect potential capital rotation between these segments.
Altcoin Season : comprendre les cycles de surperformance {#section5}
A fascinating phenomenon characterizes the cryptocurrency market: Altcoin Season or altseason. This term describes periods when altcoins collectively outperform Bitcoin, often experiencing spectacular gains in a short time.
Triggers of Altcoin Season
Altcoin Season typically begins after a strong Bitcoin rally, followed by a stabilization or stagnation phase. Investors seeking higher returns shift some of their funds from Bitcoin to altcoins, reducing Bitcoin’s dominance and boosting altcoin prices.
Identifying Altcoin Season: Key Criteria
The Altcoin Season Index helps investors determine if the market is entering an “altseason.” This index considers several criteria:
Relative performance: if most altcoins outperform Bitcoin over a given period, it may indicate the start of an Altcoin Season
Bitcoin dominance: a decline in its share of total market cap usually reflects capital moving into altcoins
Trading volume: increased trading activity of altcoins relative to Bitcoin can signal the beginning of an Altcoin Season
Social sentiment: growing interest in certain altcoins on social platforms often precedes price increases
Historical Bull Cycles and Characteristics
Among the most notable Altcoin Seasons:
2017-2018: Bitcoin’s dominance declined from 86.3% to 38.69%, coinciding with the ICO (Initial Coin Offerings) explosion
2020-2021: during the COVID-19 pandemic, retail investors sought opportunities beyond Bitcoin, fueling memecoin and NFT market growth
Duration and Volatility of Altcoin Season
Altcoin Season generally lasts from a few weeks to several months, depending on market conditions, investor sentiment, and macroeconomic factors. These cycles can end as quickly as they begin, with prices falling as fast as they rose.
Investir dans les altcoins : bénéfices et risques {#section6}
Like any investment, altcoins offer potential benefits but also carry significant risks that require careful analysis.
Advantages of Investing in Altcoins
1. Technological improvements over Bitcoin
Many altcoins are designed to overcome Bitcoin’s limitations—transaction speed, energy consumption, functionality. This gives them technical advantages for specific use cases.
2. Higher growth potential
Typically having smaller market caps than Bitcoin, altcoins can offer much higher percentage returns if successful. A $1,000 investment in a promising altcoin could potentially multiply more than in Bitcoin.
3. Diversified investment options
With thousands of altcoins available, investors can select projects based on technologies, sectors, or issues they find interesting.
4. Utility beyond simple monetary function
Many altcoins provide features beyond a store of value—support for decentralized applications, governance rights within blockchain projects.
Risks and Disadvantages
1. Increased risk
Altcoins generally carry higher risks than Bitcoin. Many projects fail completely, resulting in total loss of investment. The smaller the altcoin, the higher the risk.
2. Extreme market volatility
Altcoin prices can be extraordinarily volatile, with fluctuations of 20-30% in a single day. This volatility makes investments stressful and hard to predict.
3. Reduced liquidity
Most altcoins have lower trading volumes than Bitcoin, complicating large buy or sell orders without impacting the price.
4. Regulatory uncertainty
Cryptocurrency regulatory frameworks are evolving. Future regulations could significantly impact certain altcoins, especially those likely to be classified as securities.
5. Scams and failures
The altcoin universe has seen many scams, fraudulent projects, and failures. Without thorough research, investors risk pump-and-dump schemes or projects that never deliver on promises.
Méthodologie de recherche pour les altcoins {# Research Methodology for Altcoins
Given the risks, thorough research is essential before committing funds. Here are the main criteria for evaluating a potential altcoin:
1. Understand the project’s goal and addressed problem
What specific problem does the altcoin solve?
Is this need real or does it address a nonexistent issue?
How does it compare to existing solutions, crypto or non-crypto?
2. Rigorously evaluate the team
Research the background and experience of developers and founders. Check transparency regarding identities and skills. Ensure the team has successfully completed previous projects. Assess the number of active developers.
3. Carefully read the white paper
The white paper is the key document describing the technology, goals, and strategy. When reading, pay attention to:
Clear and precise technical explanations
A realistic, well-defined roadmap
Transparent tokenomics (distribution and utility of tokens)
Are there lock-up periods for tokens held by the team?
5. Examine market indicators
Market capitalization: total value of circulating tokens
Liquidity: ease of buying and selling without impacting price
Daily trading volume
Long-term price history
6. Analyze community and adoption
Size and engagement of users on social media, forums, etc.
Partnerships with reputable companies
Real usage and adoption statistics
Quality and consistency of team communications
7. Verify security and audits
Has the code been audited by reputable experts?
Has the project experienced security breaches?
How decentralized is the network?
By carefully analyzing these aspects, you will be better prepared to select altcoins with real investment potential while avoiding those with excessive risks.
Stratégies de sécurisation des altcoins {#section8}
Properly storing your altcoins is crucial to protect your investment. Different storage options offer varying levels of security and convenience.
Types of Cryptocurrency Wallets
Hardware wallets (cold storage)
Physical devices storing your private keys offline
Examples: Ledger, Trezor, Tangem
The most secure option, recommended for significant holdings
Protects against online hacking attempts
Cost generally between $50 and $200
Software wallets
Desktop applications: installed on your computer (e.g., Exodus, Electrum)
Mobile apps: wallets on smartphones (e.g., Trust Wallet, MetaMask mobile)
Web wallets: accessible via browser (e.g., MetaMask extension)
More convenient than hardware wallets but less secure
Exchange wallets
Storage of assets directly on trading platforms
Most convenient but least secure
Suitable only for small amounts or short-term holding
The exchange controls your private keys
Paper wallets
Physical documents containing your private keys
Fully offline storage
Very secure if properly created, but complex to use
Not recommended for beginners
Essential Security Best Practices
Never share your private keys or recovery phrases with anyone
Write down your recovery phrases on paper (never digitally), and store in a secure place
Use strong, unique passwords for all crypto-related accounts
Enable two-factor authentication (2FA) via an authentication app, not SMS
Use multiple wallet types: hot wallet for frequent transactions, cold storage for long-term
Keep your software always updated to patch security vulnerabilities
Beware of phishing attempts targeting your crypto assets
Consider a dedicated device for crypto transactions
Back up your wallet according to the provider’s instructions
Start with small test transactions before sending large amounts
As the crypto proverb says: “If you don’t hold the keys, you don’t own your crypto.” Taking personal responsibility for securing your altcoins is a vital step to fully participate in the cryptocurrency ecosystem.
Conclusion {#section9}
The altcoin market has continuously evolved since the modest beginnings of Litecoin in 2011. As the crypto universe matures, projects offering real utility and concrete applications are gaining prominence, while others gradually disappear.
For beginners looking to enter the world of altcoins, the ecosystem offers multiple entry points through various platforms. Competitive fees and a wide selection of emerging altcoins become especially relevant during Altcoin Season, where diversification opportunities proliferate.
Whether you aim to understand market trends via dominance indicators or build a diversified portfolio of promising projects, modern analytical tools provide the resources needed to navigate this dynamic and captivating market.
Investing in altcoins remains an opportunity but requires caution, thorough research, and rigorous risk management.
Questions fréquemment posées {#section10}
What is the main difference between Bitcoin and altcoins?
Bitcoin is the first cryptocurrency and operates on its own blockchain, while altcoins emerged afterward and generally aim to improve Bitcoin’s limitations or serve other functions. Many altcoins offer faster transactions, lower fees, better privacy, or additional features beyond just being a store of value.
Is Ethereum considered an altcoin?
Technically yes, Ethereum is an altcoin since it is a cryptocurrency other than Bitcoin. However, due to its size and influence, some consider Ethereum in a separate category, alongside Bitcoin, viewing all other cryptocurrencies as altcoins outside these two giants.
What are altcoins used for?
Altcoins serve various utilities depending on their design. Some act as means of payment, others provide access to decentralized applications, some offer governance rights within blockchain projects, and others maintain stable value for trading or savings. Their use cases cover diverse fields—gaming, finance, supply chain tracking, identity verification, and more.
How many altcoins are there?
As of December 2024, over 16,500 cryptocurrencies were in circulation, the vast majority being altcoins. This number is constantly changing, with new projects launching and others ceasing activity.
Are altcoins good investments?
Altcoins can offer high return potential but also carry significant risks. Some early investors in successful altcoins have made substantial gains, but many projects fail. It is generally advised to invest in altcoins only after thorough research and within a diversified portfolio.
What is the most popular altcoin?
Ethereum (ETH) remains the most significant and popular altcoin, with a market cap around 440 billion dollars at the end of 2024.
How to decide which altcoin to invest in?
Research is essential. Evaluate the project’s goal, team credentials, technical foundation, community support, tokenomics, market indicators, and security aspects. Favor projects solving real problems, led by experienced teams, and operating transparently.
What influences altcoin prices?
Altcoin prices are affected by many factors: Bitcoin’s performance, overall market sentiment, project-specific news, regulations, technological advances or delays, adoption rates, and macroeconomic conditions.
Can I mine altcoins like Bitcoin?
Some altcoins can be mined via proof-of-work mechanisms similar to Bitcoin. However, many modern altcoins use Proof of Stake or other mechanisms that do not require mining. Instead, they often allow staking—locking coins to contribute to network security and earn rewards.
Where can I learn more about specific altcoins?
Official project websites, white papers, GitHub repositories, crypto news sites, Discord or Telegram channels, and dedicated cryptocurrency forums are excellent sources to learn more about specific altcoin projects.
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
Beyond Bitcoin: The Complete Guide to Altcoins and the Top 10 Best Projects in 2025
Imagine a decentralized financial universe where Bitcoin is just the foundation. That is exactly the reality of the current cryptocurrency ecosystem. While Bitcoin remains the dominant heavyweight, thousands of alternative cryptocurrencies have emerged since 2009, creating a complex and dynamic digital landscape.
The term “altcoin”—a contraction of “alternative” and “coin”—refers to any cryptocurrency other than Bitcoin. Like different vehicles designed to meet specific needs, each altcoin was created to solve particular problems or offer features that Bitcoin does not provide. Litecoin, the first altcoin launched in 2011, perfectly illustrates this logic: created to process transactions faster, it paved the way for the diversified ecosystem we know today.
Today, over 16,500 cryptocurrencies coexist in the market. While Bitcoin accounts for approximately 45% of the total market capitalization, altcoins make up the remaining 55%, demonstrating their growing importance in the decentralized digital economy.
Key Points to Remember
Table of Contents
Comprendre les altcoins : définition et différenciation par rapport au Bitcoin {#section1}
To grasp the essence of altcoins, first clarify the fundamental concepts of the crypto ecosystem:
A “coin” is a cryptocurrency operating on its own dedicated blockchain. Bitcoin runs on the Bitcoin blockchain, Ethereum on its own blockchain, etc. These are native currencies of their respective networks.
An “altcoin” refers to any cryptocurrency other than Bitcoin. Some consider that altcoins include all cryptocurrencies except Bitcoin and Ethereum, the two dominant and long-established ones.
A “token” is a cryptocurrency operating on the blockchain of another cryptocurrency, without its own underlying infrastructure. Many tokens operate on the Ethereum network, leveraging its infrastructure while serving different purposes.
Two major classifications of altcoins
First category: altcoins sharing a similar codebase to Bitcoin but modified to incorporate new features
Second category: altcoins developed from scratch, with entirely different code and mechanisms
Most altcoins aim to address Bitcoin’s identified limitations: transaction speed, energy consumption, privacy capabilities, or application versatility. Each altcoin offers a unique value that sets it apart from Bitcoin and other cryptocurrencies.
Catégorisation des altcoins : des stablecoins aux memecoins {#section2}
The universe of altcoins is divided into several categories, each serving specific functionalities within the decentralized ecosystem.
Stablecoins: Guaranteed Stability
Stablecoins minimize price volatility by pegging their value to stable assets—US dollar, gold, or others. USDC, USDT (Tether), and DAI are emblematic examples. Unlike most cryptocurrencies, stablecoins maintain a constant value, making them useful for daily transactions and as a refuge during extreme market volatility.
Utility Tokens: Access and Services
Utility tokens grant access to services within a particular blockchain network, functioning as digital keys unlocking features or services on a platform. XRP was designed for international transfers, while MATIC covers transaction fees on the Polygon network.
Payment Tokens: Facilitating Exchanges
These altcoins are specifically designed to function as means of exchange, focusing on efficiency as payment methods with fast transactions and low fees.
Governance Tokens: Democratizing Decisions
Governance tokens give holders voting rights on blockchain project decisions. Owning these tokens is akin to voting on protocol changes, similar to holding shares in a company. Maker (MKR) exemplifies this model, allowing holders to vote on MakerDAO’s operations.
Security Tokens: Ownership and Investment
Security tokens represent ownership of an external asset, similar to traditional financial securities—company shares, real estate parts, or other investments. These tokens are generally subject to securities regulations.
Memecoins: Cultural Phenomena
Memecoins initially emerged as jokes or social satires, gaining popularity through community support. Dogecoin (DOGE) and Shiba Inu (SHIB) illustrate this phenomenon: originating as simple internet memes, they have rallied large user bases. These coins typically have an extremely high, sometimes unlimited, supply, resulting in low unit prices.
Play-to-Earn Tokens: Gamification and Rewards
These tokens fuel blockchain games where players earn cryptographic rewards by playing. Axie Infinity exemplifies this model: players breed, train, and battle fantastical creatures while earning exchangeable tokens.
Top 10 des altcoins en 2025 : leaders de marché et applications {#section3}
Although thousands of altcoins exist, a handful has established itself as market leaders through utility, adoption, and market capitalization.
1. Ethereum (ETH) : The Premier Decentralized Platform
Ethereum remains the largest altcoin, with a market cap around 440 billion dollars. Unlike Bitcoin focused on monetary function, Ethereum introduced programmable smart contracts that execute automatically when certain conditions are met. This innovation has catalyzed the creation of thousands of applications—financial services, games, digital art marketplaces—leveraging its platform.
2. XRP : Facilitating International Payments
Developed by Ripple Labs, XRP aims to enable fast, low-cost international money transfers. Focused on improving cross-border payments for financial institutions, it offers an alternative to traditional banking systems like SWIFT.
3. Solana (SOL) : High-Speed Blockchain
Solana is known for its exceptional transaction speeds and minimal costs. Its blockchain processes thousands of transactions per second, making it ideal for high-throughput applications—trading platforms or blockchain games.
4. Cardano (ADA) : Scientifically Rigorous Blockchain
Cardano adopts a research-based approach to develop its blockchain, emphasizing security and sustainability. Using a proof-of-stake (PoS) consensus mechanism, which is much less energy-intensive than Bitcoin mining, it offers an environmentally friendly alternative.
5. Litecoin (LTC) : Fast Digital Silver
Often called “the silver to Bitcoin’s gold,” Litecoin was one of the first altcoins launched in 2011. It offers faster confirmation times and a different hashing algorithm. With over a decade of existence, Litecoin remains a popular choice for daily payments due to lower fees and widespread adoption.
6. Dogecoin (DOGE) : Community Phenomenon
Originally created as a joke based on an internet meme, Dogecoin has become one of the most recognized cryptocurrencies globally. Despite its humorous origins, it has built a passionate community and attracted public attention, notably through celebrity endorsements. Its accessible price and infinite supply make it popular for tips and microtransactions online.
7. Tether (USDT) : Dominant Stablecoin
As the largest stablecoin by market cap, Tether maintains a value pegged to the US dollar. Each USDT token is backed by reserves ensuring its equivalence to 1 dollar, serving as an essential tool for traders switching between volatile cryptocurrencies and stable assets without fiat currency. It is one of the most traded cryptocurrencies daily.
8. USD Coin (USDC) : Regulated Stablecoin
USDC is a growing regulated stablecoin pegged to the US dollar. Created by the Centre consortium (founded by Circle and Coinbase), it stands out for its transparency, with regular attestations of its dollar reserves. It has become a crucial infrastructure for decentralized finance (DeFi) applications and cross-border payments.
9. Shiba Inu (SHIB) : Evolving Memecoin
Launched in 2020 as an alternative to Dogecoin, Shiba Inu quickly gathered a huge community. Although originating as a memecoin, the project expanded to include a decentralized exchange (ShibaSwap), an NFT platform, and other features. Its extremely low unit price allows investors to hold millions or even billions of units, explaining its popularity among retail investors.
10. Uniswap (UNI) : Revolutionary Decentralized Exchange
Uniswap transformed crypto trading with its automated market maker model. As one of the largest decentralized exchanges, it allows users to trade tokens directly from their wallets without intermediaries. Holders of the UNI token participate in governance decisions regarding protocol development.
Each of these altcoins offers distinct features and advantages related to Bitcoin, addressing specific market needs and use cases.
Domination des altcoins et capitalisation boursière : métriques clés {#section4}
To make informed investment decisions, understanding two critical market indicators is essential: altcoin dominance and market capitalization.
Altcoin Domination: Capital Flow Indicator
Altcoin dominance is the percentage of the total crypto market value represented by all altcoins, calculated as:
Altcoin dominance = (Total crypto market cap – Bitcoin cap) ÷ Total crypto market cap × 100%
When Bitcoin’s dominance decreases, altcoin dominance increases, signaling a capital inflow into alternative cryptocurrencies. The altcoin dominance chart is a powerful tool for detecting trends:
Historically, altcoin dominance peaked during the 2017-2018 bubble, nearing 67%, and again mid-2021, approaching 60%. These periods coincided with explosive altcoin price growth.
Altcoin Market Cap: Ecosystem Size Measurement
Altcoin market capitalization is the total value of all circulating altcoins. It is calculated by multiplying each coin’s current price by its circulating supply, then summing these values (excluding Bitcoin).
By April 2025, the total altcoin market cap is approximately 1.4 trillion dollars, about 55% of the entire cryptocurrency market. Monitoring this metric provides valuable insights:
Many investors also track the Bitcoin/altcoin ratio to detect potential capital rotation between these segments.
Altcoin Season : comprendre les cycles de surperformance {#section5}
A fascinating phenomenon characterizes the cryptocurrency market: Altcoin Season or altseason. This term describes periods when altcoins collectively outperform Bitcoin, often experiencing spectacular gains in a short time.
Triggers of Altcoin Season
Altcoin Season typically begins after a strong Bitcoin rally, followed by a stabilization or stagnation phase. Investors seeking higher returns shift some of their funds from Bitcoin to altcoins, reducing Bitcoin’s dominance and boosting altcoin prices.
Identifying Altcoin Season: Key Criteria
The Altcoin Season Index helps investors determine if the market is entering an “altseason.” This index considers several criteria:
Historical Bull Cycles and Characteristics
Among the most notable Altcoin Seasons:
Duration and Volatility of Altcoin Season
Altcoin Season generally lasts from a few weeks to several months, depending on market conditions, investor sentiment, and macroeconomic factors. These cycles can end as quickly as they begin, with prices falling as fast as they rose.
Investir dans les altcoins : bénéfices et risques {#section6}
Like any investment, altcoins offer potential benefits but also carry significant risks that require careful analysis.
Advantages of Investing in Altcoins
1. Technological improvements over Bitcoin
Many altcoins are designed to overcome Bitcoin’s limitations—transaction speed, energy consumption, functionality. This gives them technical advantages for specific use cases.
2. Higher growth potential
Typically having smaller market caps than Bitcoin, altcoins can offer much higher percentage returns if successful. A $1,000 investment in a promising altcoin could potentially multiply more than in Bitcoin.
3. Diversified investment options
With thousands of altcoins available, investors can select projects based on technologies, sectors, or issues they find interesting.
4. Utility beyond simple monetary function
Many altcoins provide features beyond a store of value—support for decentralized applications, governance rights within blockchain projects.
Risks and Disadvantages
1. Increased risk
Altcoins generally carry higher risks than Bitcoin. Many projects fail completely, resulting in total loss of investment. The smaller the altcoin, the higher the risk.
2. Extreme market volatility
Altcoin prices can be extraordinarily volatile, with fluctuations of 20-30% in a single day. This volatility makes investments stressful and hard to predict.
3. Reduced liquidity
Most altcoins have lower trading volumes than Bitcoin, complicating large buy or sell orders without impacting the price.
4. Regulatory uncertainty
Cryptocurrency regulatory frameworks are evolving. Future regulations could significantly impact certain altcoins, especially those likely to be classified as securities.
5. Scams and failures
The altcoin universe has seen many scams, fraudulent projects, and failures. Without thorough research, investors risk pump-and-dump schemes or projects that never deliver on promises.
Méthodologie de recherche pour les altcoins {# Research Methodology for Altcoins
Given the risks, thorough research is essential before committing funds. Here are the main criteria for evaluating a potential altcoin:
1. Understand the project’s goal and addressed problem
2. Rigorously evaluate the team
Research the background and experience of developers and founders. Check transparency regarding identities and skills. Ensure the team has successfully completed previous projects. Assess the number of active developers.
3. Carefully read the white paper
The white paper is the key document describing the technology, goals, and strategy. When reading, pay attention to:
4. Analyze tokenomics in detail
5. Examine market indicators
6. Analyze community and adoption
7. Verify security and audits
By carefully analyzing these aspects, you will be better prepared to select altcoins with real investment potential while avoiding those with excessive risks.
Stratégies de sécurisation des altcoins {#section8}
Properly storing your altcoins is crucial to protect your investment. Different storage options offer varying levels of security and convenience.
Types of Cryptocurrency Wallets
Hardware wallets (cold storage)
Software wallets
Exchange wallets
Paper wallets
Essential Security Best Practices
As the crypto proverb says: “If you don’t hold the keys, you don’t own your crypto.” Taking personal responsibility for securing your altcoins is a vital step to fully participate in the cryptocurrency ecosystem.
Conclusion {#section9}
The altcoin market has continuously evolved since the modest beginnings of Litecoin in 2011. As the crypto universe matures, projects offering real utility and concrete applications are gaining prominence, while others gradually disappear.
For beginners looking to enter the world of altcoins, the ecosystem offers multiple entry points through various platforms. Competitive fees and a wide selection of emerging altcoins become especially relevant during Altcoin Season, where diversification opportunities proliferate.
Whether you aim to understand market trends via dominance indicators or build a diversified portfolio of promising projects, modern analytical tools provide the resources needed to navigate this dynamic and captivating market.
Investing in altcoins remains an opportunity but requires caution, thorough research, and rigorous risk management.
Questions fréquemment posées {#section10}
What is the main difference between Bitcoin and altcoins?
Bitcoin is the first cryptocurrency and operates on its own blockchain, while altcoins emerged afterward and generally aim to improve Bitcoin’s limitations or serve other functions. Many altcoins offer faster transactions, lower fees, better privacy, or additional features beyond just being a store of value.
Is Ethereum considered an altcoin?
Technically yes, Ethereum is an altcoin since it is a cryptocurrency other than Bitcoin. However, due to its size and influence, some consider Ethereum in a separate category, alongside Bitcoin, viewing all other cryptocurrencies as altcoins outside these two giants.
What are altcoins used for?
Altcoins serve various utilities depending on their design. Some act as means of payment, others provide access to decentralized applications, some offer governance rights within blockchain projects, and others maintain stable value for trading or savings. Their use cases cover diverse fields—gaming, finance, supply chain tracking, identity verification, and more.
How many altcoins are there?
As of December 2024, over 16,500 cryptocurrencies were in circulation, the vast majority being altcoins. This number is constantly changing, with new projects launching and others ceasing activity.
Are altcoins good investments?
Altcoins can offer high return potential but also carry significant risks. Some early investors in successful altcoins have made substantial gains, but many projects fail. It is generally advised to invest in altcoins only after thorough research and within a diversified portfolio.
What is the most popular altcoin?
Ethereum (ETH) remains the most significant and popular altcoin, with a market cap around 440 billion dollars at the end of 2024.
How to decide which altcoin to invest in?
Research is essential. Evaluate the project’s goal, team credentials, technical foundation, community support, tokenomics, market indicators, and security aspects. Favor projects solving real problems, led by experienced teams, and operating transparently.
What influences altcoin prices?
Altcoin prices are affected by many factors: Bitcoin’s performance, overall market sentiment, project-specific news, regulations, technological advances or delays, adoption rates, and macroeconomic conditions.
Can I mine altcoins like Bitcoin?
Some altcoins can be mined via proof-of-work mechanisms similar to Bitcoin. However, many modern altcoins use Proof of Stake or other mechanisms that do not require mining. Instead, they often allow staking—locking coins to contribute to network security and earn rewards.
Where can I learn more about specific altcoins?
Official project websites, white papers, GitHub repositories, crypto news sites, Discord or Telegram channels, and dedicated cryptocurrency forums are excellent sources to learn more about specific altcoin projects.