CryptoQuant metric shows -$36 billion cumulative volume, reflecting weak altcoin demand despite Bitcoin’s continued rally above $100K.
Altcoin investors are inactive as key trading data stays negative, reinforcing concerns about the timing of a potential altseason.
The metric turned positive in December 2024, marking a local top, and has steadily declined since, confirming reduced market enthusiasm.
The altcoin market continues to be in a bearish phase, even when Bitcoin is gaining traction. One key trading volume metric points towards an absence of enthusiasm for altcoins and leaves market participants wondering if it is time for a turnaround.
Altcoin Trading Volume Metric Drops to -$36 Billion
A recent post from CryptoQuant analyst @burak_kesmeci emphasized the continued weakness in the altcoin market. He pointed to the "1-Year Cumulative Buy/Sell Quote Volume Difference for Altcoins (Excluding BTC & ETH)," which remains in negative territory. According to Kesmeci, this metric flipped positive in December 2024, signaling a temporary top for altcoins.
Since then, the figure has steadily declined and now sits at -$36 billion. This value shows that market participants have been selling more altcoins than buying over the past year. Despite Bitcoin's rise to around $106,000 as of writing, altcoins have failed to follow the same bullish path.
Bitcoin Rally Fails to Lift Altcoins
While Bitcoin has recently been increasing, it has not yet sparked a typical altcoin rally. In the past, altcoins typically follow Bitcoin's price increase; in many occasions, they often seem to outperform Bitcoin for part of rallies. However, the cycle appears different now.
CryptoQuant’s data shows limited buy-side interest in altcoins, suggesting retail and institutional investors are still cautious. While Bitcoin continues to attract capital, altcoins seem to remain in a phase of low activity and weak sentiment.
Altseason Expectations May Be Premature
"Unless this metric starts rising again, expecting a full-blown altseason or altcoin FOMO might just be wishful thinking," Kesmeci warned in a tweet shared by @cryptoquant_com. The lack of volume inflows into altcoins underlines this cautious sentiment.
https://twitter.com/cryptoquant_com/status/1935579764208599230
The current metric shows that altcoin investors have largely stayed on the sidelines. As the altcoin market awaits renewed interest, the absence of buy-side momentum indicates that altseason may still be out of reach.
Until a reversal is seen in the cumulative volume difference, the broader altcoin market may continue facing downward pressure, despite a bullish environment for Bitcoin.
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