Altcoin Market Plunges 41% — Is Another Crypto Winter on the Horizon? Coinbase Weighs In

The altcoin market has taken a sharp 41% nosedive from its recent peak, sparking concerns across the crypto community about the possibility of another prolonged downturn — often referred to as a “crypto winter.” According to a recent analysis by Coinbase, the current selloff could be signaling broader market fatigue and a shift in investor sentiment. As Bitcoin holds relatively steady, many smaller-cap tokens are struggling to maintain support, raising critical questions about what lies ahead for the altcoin sector.

Coinbase Flags Altcoin Slump as Early Signs of a Potential Crypto Winter

The altcoin market has witnessed a significant contraction, with total cryptocurrency market capitalization—excluding Bitcoin—falling by 41% from a December 2024 high of $1.6 trillion to around $950 billion by mid-April 2025. According to Coinbase Research, this steep decline may be indicative of a looming crypto winter.