Key Highlights
- Altcoin spot volume hits nearly 4x Bitcoin’s, reaching its highest level since September 2025.
- The Altcoin Season Index surged to 62%, up from 50% last week and 33% last month.
- Altcoin exchange deposits are rising, raising concerns about possible selling pressure as 87% of Binance-listed altcoins trade above their 200-day averages.
Altcoin spot trading volume has climbed to nearly four times Bitcoin’s, according to Glassnode, as traders turn more attention to higher-risk cryptocurrencies.
The data shows that altcoin spot activity is at its highest level since September 2025, while the Altcoin Season Index has also moved higher.
Glassnode said spot traders are increasingly moving into altcoins, with total spot volume now close to four times Bitcoin’s. The on-chain data firm said this kind of demand for higher-risk assets has often appeared around local Bitcoin market tops.
“Spot traders are turning to altcoins” the firm said in a post on X.
Altcoin season gains ground
The shift is also visible in the Altcoin Season Index. According to data from CoinMarketCap, the index is currently at 62%, which confirms that traders are gradually shifting to altcoins. This figure is up from 50% as at last week and 33% as of last month.
This means a larger part of the market is now showing stronger activity around altcoins compared with recent weeks.
But the increase in trading activity has also raised another question: does more altcoin trading really mean traders are buying more?
Darkfost questions the demand
In the comments, Darkfost, a CryptoQuant contributor, challenged that idea in a response to Glassnode.
“Are you sure that a higher share of Altcoin spot trading = Higher demand?” he asked. Darkfost said the data he was watching showed altcoin inflows to exchanges were also rising, which could point to more selling pressure.
That exchange activity has been building for several weeks. Darkfost said altcoin deposits to exchanges had reached levels not seen since October 2025, a period he linked to the previous market top. The weekly average of deposit transactions had climbed above 22,700 on Binance and 8,300 on Coinbase, while about 32,000 more transactions were spread across other exchanges.
Darkfost stressed that these inflows were still modest compared with the levels seen at the start of the previous bull cycle.
However, he said the figures were worth watching because they were appearing alongside signs that altcoin momentum could be losing strength.
Altcoin market sees strong recovery
At the same time, the wider altcoin market has recorded a major recovery. Darkfost said TOTAL2, which measures the market value of cryptocurrencies excluding Bitcoin but including Ethereum, had gained more than $371 billion since June. That represents a rise of about 45% over the period.
According to data from TradingView. TOTAL2 is currently around $1.17 trillion. TOTAL2 gives a broad view of the value of cryptocurrencies outside Bitcoin among the assets covered by the index.
Momentum shows warning signs
The recovery can also be seen in the number of altcoins trading above their 200-day moving averages. Darkfost said about 87% of Binance-listed altcoins were now above the long-term indicator, while only 13% remained below it.
The change is sharp compared with the summer. At that time, about 84% of Binance-listed spot altcoins were trading below their 200-day moving averages. By September 19, around 70% had moved back above the level.
Darkfost described the wider recovery as a form of altcoin euphoria but warned that the market could be entering a more fragile stage. He also pointed to an emerging bearish divergence in TOTAL2’s RSI, saying it could be another sign that altcoin momentum is starting to fade.
The new data therefore show two sides of the current altcoin market: trading activity and market breadth have risen sharply, while increasing exchange deposits and weakening momentum signals are also becoming part of the picture.
Also Read: Ethereum Holds Near $2,677 as Traders Watch $2,700 Resistance
