Altcoin Selling Pressure Hits Five-Year High as Confidence Wanes
Altcoin selling pressure has reached its highest level in five years, with net selling—measured by the difference between cumulative altcoin buys and sells—hitting -$209 billion, according to CryptoQuant. Retail and speculative investors have largely exited, leaving only brief, narrative-driven rallies that quickly reverse. Institutional capital remains focused on Bitcoin and a few major altcoins, making the current downturn largely a retail exodus. At the same time, stablecoin holdings on exchanges have risen, with Binance now accounting for nearly 65% of all exchange stablecoin liquidity (about $47.5 billion), indicating investors are waiting on the sidelines rather than exiting crypto entirely. Despite persistent sell-offs, speculative interest in altcoins continues, as shown by a 14% rise in altcoin market dominance since mid-January. Market experts expect this trend to continue until sustained demand returns and predict only a minority of altcoins with real utility will survive long term, as speculative projects are filtered out.
