Altcoins Now Account for Half of Binance's Trading Volume: Liquidity Exodus from Bitcoin and Ethereum

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Recently, in the trading volume indicators of Binance, the world's largest virtual asset exchange, the share of altcoins has surpassed that of major cryptocurrencies for the first time, exceeding half, and strong signs of a revival are being observed in the altcoin market, which has been in a long period of stagnation.

According to Bitcoinist, a cryptocurrency media outlet, on April 23 (local time), top analyst Darkfost stated that altcoins now account for 51% of Binance's total trading volume, surging to a majority market share for the first time this cycle. This is a remarkable turnaround, soaring by 20 percentage points in just six weeks, compared to early March when market uncertainty was at its peak and investors flocked only to major cryptocurrencies, with altcoins' trading volume share being only 31%.

This explosive increase in altcoin trading volume has inevitably led to a liquidity exodus from major cryptocurrencies. The trading volume share of Bitcoin (BTC) on Binance fell to 30%, and the decline in Ethereum (ETH)'s share was even more painful. Just two weeks ago, on April 11, Ethereum accounted for 27% of total transactions, but it has quickly dropped by 10 percentage points to 17%, keenly feeling the market's fierce capital rotation.

Experts analyzed that even amidst ongoing macroeconomic uncertainty, investors are actively reallocating capital to high-risk, high-reward altcoins that were significantly undervalued during the previous correction, rather than observing the sideways market. This means that beyond merely reducing their exposure to major cryptocurrencies, proactive position building targeting a full-fledged altcoin bull market (Altseason) has begun.

The total altcoin market capitalization, excluding the top 10 coins, has also passed through a long correction tunnel and is now consolidating its bottom in the $180 billion to $190 billion range. In particular, the market's recovery of the 200-week moving average as a tentative support line is interpreted as a positive sign that long-term investors' buying interest is reviving.

However, there are still many hurdles to overcome before discussing a true bull run. This is because the 50-week and 100-week moving averages are converging above the current price level, forming strong resistance. Analysts predict that the altcoin market must definitively break through the $220 billion to $250 billion range to declare a complete trend reversal, and until then, it will go through a cautious recovery phase rather than a firm entry into a bull market.

*Disclaimer: This article is for investment reference purposes, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*