The cryptocurrency exchange Binance has recorded a significant rise in altcoin deposits, reaching a weekly high—ironically, at a time when most altcoin prices are weakening. This shift may signal an upcoming sell-off, or perhaps the beginning of a new phase of active trading.
Deposits Climb Despite Weak Market – Binance Leads the Way
According to CryptoQuant data, cumulative altcoin inflows to Binance have spiked just as prices of the top 100 tokens (excluding BTC and stablecoins) lost momentum.
🔹 Bybit saw a decline in deposits
🔹 Coinbase and smaller exchanges had only modest inflow growth
🔹 Binance, however, saw a surge – reaching levels not seen since November 2024
Historically, such behavior has signaled a local market top, often followed by a downtrend into lower trading ranges.
Sell-Off Signal or Start of Altcoin Season?
Over 45,000 incoming transactions were registered in recent days, marking the largest spike in deposit activity in months. Interestingly, this surge occurred alongside Bitcoin's rally to record highs, suggesting that some altcoin holders may be preparing to sell into strength.
The TRON network, for instance, recently saw a wave of sell-offs—similar patterns may soon emerge across other altcoins.
Stablecoin Inflows Hint at Market Movement
In July, Binance also experienced a $2 billion increase in USDT inflows, pointing to growing buying power and readiness for high-volume trading.
Some analysts believe this is the early stage of an altcoin cycle, with traders rotating out of BTC or stablecoins and back into higher-risk tokens—especially during surges in volatility.
BNB Hits New All-Time High Above $800
Another trigger for the surge in deposits may have been the recent BNB rally, which pushed the token above $800 for the first time. Traders likely rushed to Binance to realize profits, increasing on-chain activity.
Altcoin Index Cools Down, Market Still Active
The Altcoin Index dropped from a recent local high of 43 points to just 37, indicating a cooling market. Over the last three months, altcoins have frequently outperformed BTC, often thanks to meme-token rallies, but that momentum is now fading.
🔹 RSI data shows mostly neutral readings
🔹 Only 2 assets are oversold, with fewer than 10 in the overbought zone
🔹 In past altcoin peaks, many more tokens were overbought
Which Tokens Are Still Performing?
Despite broader stagnation, some tokens continue to show strength. Most notably, Solana-based narratives have held up well, including:
🔹 PUMP
🔹 ZEREBRO
🔹 SLERF
Meanwhile, DeFi-related tokens benefited from improved liquidity conditions and outperformed peers in recent weeks.
Ethereum, BNB, and Solana Cool Down – Impact on Altcoin Momentum
The slowing growth of Ethereum, BNB, and Solana has put a brake on the broader altcoin rally that many traders anticipated. Still, the market remains active enough to support profit-taking from recent deposits.
Interestingly, altcoin/BTC trading pairs are nearly dormant, while stablecoin pairs saw higher trading volume in July. The US dollar’s share also increased slightly.
South Korean Won: A Surprising Liquidity Player
The Korean won has emerged as a notable source of liquidity. In July, it exhibited strong buy-side activity, although it underperformed compared to meme asset rallies like Pudgy Penguins (PENGU), according to Cryptopolitan.
Summary: Altcoin Market at a Crossroads – Sell-Off, Growth, or Stagnation?
🔹 Binance altcoin deposits hit a weekly high
🔹 Signals point to either a coming sell-off or the start of a new altcoin season
🔹 BNB, TRON, and Solana are at the center of activity
🔹 Altcoin index cools, but the market stays active
🔹 Stablecoins and Korean won provide strong liquidity
🔹 Altcoin/BTC pairs fade, while stablecoin activity rises
The altcoin market remains on edge—traders are now watching closely to see whether this shift leads to a correction, or the beginning of the next bull cycle.
#Binance , #altcoins , #cryptotrading , #CryptoMarket , #Stablecoins
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