Altcoin Momentum Builds as Bitcoin Stabilises and Binance Dominates Trading Activity

Bitcoin pushed past the $120,000 mark a few days ago, setting a fresh all-time high. But after this rapid climb, the price appears to be stabilizing. As the leading cryptocurrency enters a more settled phase, investor attention is beginning to shift toward altcoins. This shift is now clearly visible across both futures and spot markets, especially on major trading platforms.

Altcoin Season Builds Steam with Binance at the Centre of the Action

Recent trading figures confirm the growing interest in alternative tokens. On Binance Futures, altcoin contract volume recently reached $100.7 billion. This was the highest level recorded since early February 2025. While Bitcoin trading volume has remained consistent, the significant jump in altcoin trades shows where the current demand lies.

According to Maartunn on CryptoQuant, altcoins now represent a large share of activity on Binance Futures. They currently account for 71% of the platform’s total futures trading volume. This change reflects a broad rotation of interest away from Bitcoin towards a range of other digital tokens.

So, how else is Binance leading, and what are the altcoin indexes saying?

• Altcoin spot trading volume hit $57.6B across CEXs, with Binance alone handling $24B—a 41.5% market share.
• Binance remains the go-to exchange for both futures and spot altcoin trading, dominating global activity.
• The surge in altcoin volume is largely driven by retail traders chasing new opportunities after Bitcoin’s rally.
• Binance Altcoin Week Index hits 84, showing strong altcoin momentum across the platform.
• CMC Altcoin Season Index stands at 55, signaling a rising but not yet dominant altcoin trend.

Capital Rotation Points to Renewed Altcoin Activity

Although Bitcoin recently set a new all-time high, activity on exchanges is beginning to shift. Over 32,000 BTC were moved into centralized trading platforms—the largest inflow recorded since July 2024. Such movements typically indicate that holders may be preparing to take their profit or redistribute holdings, increasing available supply in the market.

Shayan Markets from CryptoQuant explained that, historically, sharp increases in exchange inflows often occur before a price correction. He added that these typically involve large investors adjusting their exposure as Bitcoin approaches record highs.

This kind of capital shift could benefit altcoins. As funds exit Bitcoin, they often flow into alternative assets. If demand for these tokens rises while Bitcoin holdings decline, prices across select coins may climb further. Similar trends in past cycles have sparked strong rallies among non-Bitcoin assets.

Oinonen added that the current divergence between Bitcoin and other tokens typically precedes broader gains among altcoins. He pointed to Tron as an early example of this trend. Since March, the token has consistently outperformed BTC, even though the latter still leads in year-to-date returns. 

The analyst explained that if Tron maintains its strength and other assets follow suit, it could confirm the start of an altcoin-led phase.

However, he noted that Bitcoin’s overall market dominance remains a key factor. As long as it controls over 50% of the total market, that dominance could limit the potential for a wider altcoin breakout.

Historically, bitcoin’s consolidation has been followed by altseasons, as seen in 2017 and 2021 cycles, when altcoins surged after bitcoin momentarily stabilized. If TRX can sustain its momentum and other altcoins follow, it could confirm an altseason, however, bitcoin’s dominance staying above 50 percent may disrupt this shift.

Oinonen on CryptoQuant

Search Trends and Price Moves Confirm the Shift

Looking at public interest, online search data shows a growing focus on alternative coins. Between July 20 and now, global searches for the term “altcoin” climbed to 95 out of a possible 100 on Google’s interest scale. This marks one of the highest points of attention in the last five years, supporting the view that investor sentiment is tilting further toward altcoins.

Several tokens have already started to show stronger performance. Over the past week, Ethereum rose by 18%, XRP increased by 19%, and BNB saw a 15% gain. Solana jumped 23%, while Cardano, Avalanche, and Chainlink gained 18%, 16%, and 20%, respectively. 

Despite these strong performances, Oinonen noted that this potential altseason could look different from previous years. Rather than a broad surge across the entire altcoin market, the current trend may favour a select group of stronger tokens. If this plays out, only a few standout projects are likely to outperform, while many others may struggle to keep up. Still, the momentum building so far suggests altcoins could be mounting a comeback after a long stretch of Bitcoin dominance.