The crypto market has extended its decline over the past six months, with little evidence of a sustained rebound on the charts. With total market valuation down about 45% from its peak above $4.27 trillion, a growing number of altcoins are now sitting near their historical lows.
This compression has reduced the number of assets positioned to benefit meaningfully from a recovery, concentrating potential upside in a smaller subset of tokens.
Altcoins approach cycle extremes
According to a recent CryptoQuant report, nearly 40% of altcoins have either reached their all-time lows or are now trading within close range of those levels.
This downturn is primarily a product of broader macro pressures, including persistent inflation concerns tied to oil markets and escalating geopolitical tensions across West Asia.
Relative to the previous cycle, current conditions are slightly more severe though. During the last downturn, about 38% of altcoins fell to or near all-time lows before establishing a base and reversing higher. The current figure exceeds that level by 2%, highlighting deeper market stress.
At the same time, capital dilution has intensified too. The number of cryptocurrencies has expanded to roughly 47 million, with about 44 million concentrated across Solana, Base, and BNB. This surge in token supply has fragmented liquidity, spreading capital thinly across an increasingly crowded market.
Despite the broader weakness, however, select sectors and tokens have continued to outperform lately – A sign that they may attract disproportionate capital if market conditions stabilize again.
Select altcoins show resilience
Consider this – The 90-day Altcoin Season Index, which tracks performance outside Bitcoin, has held relatively firm despite the broader market’s decline.
Within this period, 22 altcoins have been in profit, positioning them as key assets drawing investor attention.
Leading performers include Hyperliquid [HYPE], MemeCore [M], Canton Network [CC] and Bittensor [TAO], with these alts up 47%, 66%, 14% and 44%, respectively.
AMBCrypto further grouped these assets by three-month performance to identify segments likely to attract capital.
Artemis year-to-date data from January through March revealed that bridge tokens, AI-related assets, utilities and services, social tokens, and exchange tokens have been among the least affected categories.
Signs of accumulation, but confirmation remains key!
At the time of writing, the accumulation/distribution (A/D) indicator suggested that broad-based buying activity was underway, with trading volume hitting approximately 4.5 billion tokens.
However, this accumulation may reflect a short-term relief phase rather than a confirmed reversal. Especially since the price action remains under a descending resistance line.
A breakout above this level, followed by sustained upward movement, would confirm building demand. Such a shift could drive broader market recovery and amplify momentum in the market’s best performers this quarter.
Final Summary
- Roughly 40% of altcoins are trading near their all-time lows, with many already deep in losses.
- Despite the broader downturn, 22 altcoins have sustained bullish momentum over the past 90 days.
