On the 7th of October, 2025, TOTAL2, the market cap of altcoins including Ethereum [ETH], reached an all-time high of $1.77 trillion. This was only very slightly above the previous all-time high of $1.71 trillion TOTAL2 made on the 8th of November, 2021.
In the context of the new high being barely much higher, the bear market that followed must have been especially crushing for long-term altcoin believers.
While Bitcoin [BTC] broke its 2021 ATH by 58.8%, altcoins, which investors and traders believed had the potential for greater returns, turned out to be a letdown as a collective.
The altcoin market cap situation right now
TOTAL2 has been inside a long-term range since 2022. Its inability to climb significantly beyond the previous peak confirms the range formation.
Moreover, the mid-range level at $1.07 trillion was being tested as a resistance at the time of writing. It had already acted as such back in May and could do so once more.
A breakout past the mid-range level would be a good development for the altcoin market in the coming weeks. The on-chain metrics suggest such a breakout could be difficult.
Altcoin exchange inflows threaten market recovery
Crypto analyst Arab Chain pointed out that the number of addresses associated with altcoin inflows to exchanges has been rising, reaching the highest level since May. Binance alone saw 25,856, the highest number of addresses among the exchanges measured.
It signaled an increased movement of altcoins to exchanges, but it need not indicate an immediate sell-off. It could also be linked to trader activity or increased liquidity, the analyst concluded.
Meanwhile, the Tether reserves on all exchanges have been trending downward since December 2025. The summer brought stablecoin inflows to exchanges, but this trend only lasted a few weeks.
A falling stablecoin reserve on exchanges points to reduced buying power in the market. Unlike the second half of 2025, the market does not have a strong directional bias, according to this metric.
Despite the growing confidence in the crypto market sentiment, there are some warning signs that traders and investors should keep an eye on. The conditions are bullish, but there is not yet a clear, strong bull run in progress.
Final Summary
- The altcoin market capitalization was at $1.07 trillion, a key long-term level to watch.
- A bullish altcoin advance depends on increasing demand and purchasing power in the market.