the average performance of altcoins shows a sharp decline of approximately -27% relative to the 200-day simple moving average (SMA), reflecting a widespread weakening of risk appetite toward alternative assets. This divergence confirms that recent market rallies have been driven primarily by Bitcoin rather than by a balanced, broad-based market advance.
When examining exchange-level performance, Binance, the largest exchange by liquidity, records a decline of approximately -30.8% in average altcoin performance. This level is comparable to declines observed on platforms such as KuCoin, Gate.io, and Bybit, indicating that the pressure is not isolated to a single exchange. Instead, it reflects a broader, systemic trend linked to capital flows and shifting investor sentiment across the crypto market.
Interestingly, some exchanges—most notably OKX—have shown near-neutral performance relative to the broader average. This may point to differences in trading pair composition, listing structures, or trader behavior on those platforms. However, these localized variations do little to change the overall market narrative. In contrast, less liquid platforms such as Kraken and Crypto.com have experienced deeper drawdowns, underscoring their higher sensitivity to liquidity outflows during periods of weak momentum.
Overall, the market is not undergoing a genuine altseason, but rather a phase of pronounced liquidity concentration in Bitcoin. Altcoins continue to underperform and deteriorate across most exchanges. Historically, such conditions often precede either a delayed rotation of capital back into altcoins or an extended period of Bitcoin dominance if new liquidity catalysts fail to emerge.
Written by Arab Chain
