Altcoin trading volumes on Binance have dropped by nearly 50% since November, falling from 59.2% to roughly 33.6% of total exchange activity by Feb. 13, as investors rotate capital toward Bitcoin (BTC) during its consolidation phase between $65,000 and $72,000, according to a CryptoQuant analysis.
What Happened: Altcoin Volume Collapse
Bitcoin trading volumes on Binance regained dominance on Feb. 7, accounting for approximately 36.8% of total exchange activity. That lead has held since then.
Altcoins, by contrast, represented about 35.3% of total volume, while Ethereum (ETH) accounted for roughly 27.8%.
The shift is stark when measured against November figures, when altcoins commanded 59.2% of Binance trading volume — a share that has since been cut nearly in half.
The pattern is not new. Similar capital rotations toward Bitcoin occurred during corrective phases in Apr. 2025, Aug. 2024, and late 2022 near the end of the previous bear cycle.
The total crypto market capitalization excluding the top 10 assets has also weakened, hovering around $170–180 billion after peaking near 2025 highs. Selling spikes accompanied the latest pullback, pointing to distribution rather than accumulation.
Also Read: Binance ETH Leverage Falls To Six-Month Low — A New Rally On The Horizon?
Why It Matters: Defensive Positioning
The sustained drop in altcoin participation reflects a broader shift toward defensive positioning across the crypto market. When uncertainty rises, Bitcoin historically functions as the sector's primary liquidity anchor — absorbing capital that might otherwise flow into smaller, higher-risk assets.
The CryptoQuant analysis noted that Bitcoin's current consolidation zone has attracted significant activity from whales, long-term holders, and institutional participants, a dynamic that typically signals strategic accumulation rather than speculative altcoin exposure. Unless broader market liquidity improves or Bitcoin dominance weakens, the altcoin market may remain structurally constrained despite occasional short-term rebounds.
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