Bear Trap Or No Altcoin Season In 2025? Broader Crypto Market Decline Triggers Fear

The cryptocurrency market has been in a red blanket since the weekend that even Bitcoin and major altcoins couldn't escape the bloodbath, raising questions about whether the market will ever see the much-anticipated "altseason" this year.

The community is divided over whether altcoin season is near or still a couple of months away. There are also some who are losing faith that altcoins will ever shine in 2025, but crypto bulls are trying to flip the narrative.

Weak Start to the Week for Crypto

Bitcoin (BTC), Ethereum (ETH), and all other major altcoins started the week in the red, with some digital coins such as XRP and Solana (SOL) being down by two digits.

The world's largest crypto by market cap plummeted to around $98,700 Monday morning, while XRP, one of the most popular altcoins, plunged below $3 after a years-long struggle to even hit $2.

Even the broader memecoin market was in the red, with multiple meme tokens bleeding over 10%, including top memecoin Dogecoin (DOGE) and second best Shiba Inu (SHIB).

A 'No Mercy' Scenario for Crypto Holders

As crypto users wait for the altseason – when digital coins beyond Bitcoin outperform and log significant gains compared to the world's top cryptocurrency – there is growing pessimism in the crypto space.

BitcoinHabebe, a prominent figure in the crypto space, noted how altcoins only had "one day" considered as an "altseason" moment. The harder part is, the one-day glory was followed by a market-wide dump. "This market has no mercy, it's not for the weak," he wrote.

One user said it's starting to look like "there will be no altseason." He followed up his post with calling out "so-called influencers" who have been saying whenever there's a broad market dip that it's the last dip, even if "alts in the last month alone have lost 30/40/50%."

Another user blamed the "dilution" within the crypto space, saying it is the reason crypto users won't be able to see an altseason this year.

Long-time crypto trader and influencer Ash Crypto had similar insights. "Market is diluted AF," he said, adding that crypto exchanges are now just listing memecoins to balloon trading volume and see their user base grow, suggesting that exchanges are no longer strictly looking into a memecoin project's foundations before listing.

As a result of the new listings, retail investors buy in on the meme tokens, but they soon abandon the coins.

Bulls to the Rescue?

Noticing the apparent growing number of posts on CT (Crypto Twitter – a term used to describe the crypto community on X) that question the delay in seeing altcoin season, crypto bulls came prepared.

Prominent crypto trader Mister Crypto said it's just a "bear trap," and holders who fall for it definitely do not deserve the upcoming altseason.

Basically, a bear trap is a decline in the market, causing traders to expect that the plunge will only ensue, so they resort to shorting, only to be shocked when the market suddenly reverses course. The reversal results in losses for "bears" who bet against the market.

Crypto YouTuber Alex Meurer agreed. "If you can't handle the red, you don't deserve the green!" he wrote.

Another apparent bull had similar comments, noting how it's a matter of survival of the fittest in the world of cryptocurrencies. "If you can't see the traps, you don't deserve the gains of altseason," he wrote.

It remains to be seen whether it's just a bear trap or if the crypto market is truly on its way down the drain. For now, crypto is in an uphill climb toward reclaiming or retaining the green line and recouping losses over a few weeks with multiple days in the red.