Key takeaways:
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The TOTAL2 market cap has hit $1.5 trillion for the primary time since January.
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Exchanges obtained over $1.7 billion in stablecoin inflows this week, and analysts suppose the positioning is towards altcoins.
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TOTAL3 will increase stay in an early stage, with analysts eyeing a parabolic rally to $5 trillion.
Capital rotation from Bitcoin (BTC) to altcoins continues with the TOTAL2 market cap (excluding BTC) tagging $1.5 trillion on Friday. This stage is the upper time-frame resistance, which was final examined in January 2025.
Whereas the markets may stall at this vary, the long-term trajectory stays prime for a breakout above $1.5 trillion, eyeing an all-time excessive market cap of $1.72 trillion. If TOTAL2 closes the month-to-month candle above $1.51 trillion, it will be the very best constructive shut for the altcoin index in historical past.
Stablecoin surge continues to gasoline altseason rally
Cointelegraph not too long ago reported that Binance’s USDT and USDC balances reached a brand new excessive of $31 billion in June 2025, underlining sidelined capital. This wave of liquidity has continued to movement as centralized exchanges like Binance and HTX recorded sharp spikes in stablecoin inflows, receiving $895 million and $819 million this week. This shift displays continued curiosity in Bitcoin and a probably deeper accumulation part for high-beta altcoins.
On July 16, over $2 billion price of stablecoins, primarily USDT, had been deposited into main derivatives platforms, suggesting a big uptick in leverage urge for food amongst refined merchants. Tether Treasury’s contemporary mints again the narrative of institutional demand, with a rising inclination towards risk-taking.
Whereas Binance dominated greater than 55% of world buying and selling quantity, over $8 billion day by day, whale BTC deposits have dropped by $2.25 billion, suggesting decreased promote strain for Bitcoin, releasing up room for capital to rotate into the altcoin market.
Whereas Bitcoin stays the liquidity anchor, the information factors to a rising undercurrent amongst establishments and high-volume merchants might already be positioning forward of the following main altcoin breakout.
Associated: SUI’s subsequent ‘altcoin season’ cease might be $5: Right here’s why
Altseason nonetheless in early levels as TOTAL3 eyes $5 trillion
The broader altcoin market, excluding Ethereum, stays within the early levels of what many analysts consider might be a historic altseason. At present valued at roughly $1 trillion, one market commentator instructed the full altcoin market cap may climb as excessive as $5 trillion this cycle, a 400% upside.
Nameless crypto analyst Mags famous that altcoin cycles are likely to unfold in distinct phases: starting with a breakout from extended consolidation, then step by step trending increased. Probably the most explosive positive factors, nonetheless, normally happen within the remaining part, a steep vertical rally compressed into only a few month-to-month candles. This final leg has traditionally produced essentially the most vital returns within the shortest span, catching latecomers off guard.
Supporting the early-stage narrative, the Altseason Index highlights that whereas the 30-day indicator has not too long ago crossed the 75 threshold, signaling early capital rotation into altcoins, the 60-day index stays subdued. This implies that comparatively few altcoins have outperformed Bitcoin over a sustained interval.
With sentiment constructing and capital flowing, analysts warning that whereas upside potential stays vital, disciplined execution and timing might be key to capturing the total extent of the transfer.
Associated: 3 charts scream ‘It’s altcoin season’ as Bitcoin dominance hits 8-week lows
This text doesn’t include funding recommendation or suggestions. Each funding and buying and selling transfer includes danger, and readers ought to conduct their very own analysis when making a choice.
