Summary
- Bitcoin has risen about 36%% from its Feb. 6 low, while its dominance has climbed above 61.3%%, indicating capital remains concentrated in Bitcoin.
- The share of Binance-listed altcoins that have reclaimed their 200-day moving average increased from 2.3%% to 11.7%%, suggesting the altcoin downtrend is easing.
- Altcoin market capitalization (TOTAL3) has risen about 15%%, while altcoins' share of trading volume increased from 31%% to 49%%, suggesting this could be an early signal before a broader altcoin rotation.
Forecast Trend Report by Period
Capital remains concentrated in Bitcoin, though the altcoin market is beginning to show early signs of stabilization, according to a CryptoQuant analysis.
CryptoQuant contributor Darkfost wrote on May 5 that Bitcoin has risen about 36% from its Feb. 6 low. Over the same period, Bitcoin dominance climbed above 61.3%, suggesting market liquidity is still centered on the token.
Altcoins, by contrast, have continued to underperform. Still, some indicators are pointing to early stabilization. TOTAL3, which measures the total market capitalization of altcoins, rose about 15% over the same period.
The market's internal structure is also improving gradually. Among altcoins listed on Binance, the share that has reclaimed its 200-day moving average increased to 11.7% from 2.3% on Feb. 6. The 200-day moving average is a key indicator of the medium- to long-term trend, and a larger share of tokens trading above that level suggests the downtrend is easing.
Trading volumes are also shifting. Altcoins' share of trading volume relative to Bitcoin and Ether rose to 49% from 31% over the past two months, indicating that some investor interest is moving into altcoins.
"The recovery remains gradual, but this change could be an early signal that the long downturn is ending before the market shifts into an altcoin rotation," Darkfost wrote.
Suehyeon Lee
shlee@bloomingbit.ioI'm reporter Suehyeon Lee, your Web3 Moderator.
