The altcoin market is currently experiencing significant pressure. Investor sentiment towards risky crypto assets continues to decline, while the prices of many altcoins have not been able to recover since the crypto market crash in October 2025.
According to CryptoQuant analyst, Darkfost, around 38 percent of altcoins are currently trading close to their all-time low (ATL). This condition is even considered worse than the period following the collapse of the FTX crypto exchange in 2022.
The Altcoin Market Condition is Becoming Increasingly Unfavorable
Darkfost explains that the current market situation does not favor risky assets like altcoins. When investors adopt a more cautious or risk-off stance, the crypto market is usually one of the first sectors to feel the impact.
In comparison, in April 2025, about 35 percent of altcoins were near their lowest prices. Meanwhile, after the FTX crisis at the end of 2022, that figure had reached 37.8 percent.
Now, the figure has increased to about 38 percent, indicating that pressure in the altcoin market is growing.
The data also indicates that investor interest in altcoins is still weakening. Many market participants choose to hold investments or shift funds to assets considered more stable.
The Big Token Is Getting Closer to the Lowest Record
Several major altcoins are also trading not far from their lowest prices. For example, Cardano (ADA) is currently in the range of US$0.27, just about US$0.10 above its ATL of US$0.17.
Polkadot (DOT) briefly touched an ATL of US$1.13 in February, but has now risen around 33 percent from that level. Meanwhile, Polygon (POL) is trading around US$0.10, just about US$0.02 above its ATL of US$0.08.
This condition shows that many altcoins are still struggling to recover their prices, even though the crypto market as a whole has experienced several phases of recovery.
Liquidity Shifts to Traditional Markets
Darkfost also highlights that liquidity in the altcoin market is starting to decrease as investor funds shift to other instruments, such as stocks and commodities.
The trading volume of cryptocurrencies surged to over US$417 billion on October 10, 2025, right when a major crash occurred in the crypto market. However, after that, trading activity began to decline.
In comparison, the daily trading volume of cryptocurrencies from February to March 2026 ranged only between US$49.4 billion and US$268 billion, much lower than during the peak market volatility.
Additionally, the Total3 indicator, which tracks the market capitalization of all cryptocurrencies except Bitcoin and Ethereum, has also returned to the levels of November 2024. This indicates a significant decline in the altcoin sector.
