Bitcoin Premium Plunges to 0%...Risk Asset Investment Sentiment 'Chills'

▲ Bitcoin (BTC)/AI generated image

With Bitcoin-centric capital flow dominating the cryptocurrency market in 2026, an analysis suggests that speculative risk appetite for altcoins has sharply cooled since October last year.

NewsBTC reported on May 14 (local time), citing Bitwise data, that overall risk appetite in the cryptocurrency market has sharply declined since October 2025, and this trend is changing the way capital moves within the market. According to the article, in past bull markets, investors who profited from Bitcoin (BTC) rallies moved funds to smaller market cap altcoins in pursuit of higher returns, but the same trend has not been observed properly in this cycle.

The clearest signal appeared in the Bitcoin premium indicator. This indicator exceeded 30% between September and November 2025 but then steadily declined until 2026, recently falling to almost 0%. Analysts explain that this sharp drop indicates a weakening interest in speculative cryptocurrency activities.

The Quantum Signal also pointed in the same direction. This signal, which showed positive momentum at the end of 2025, later turned negative, coinciding with a contraction in risk-taking propensity across the digital asset market. The article stated that the post-quantum narrative failed to drive actual altcoin adoption, and institutional funds are also concentrated more on Bitcoin than altcoins.

The altcoin market has seen a slowdown in capital inflow, and the social media fervor and speculative energy that drove past cycles have also weakened. In periods of increasing uncertainty, large investors prefer assets with deeper liquidity and established market infrastructure, and Bitcoin is the asset that best meets these conditions.

According to the article, Bitcoin was trading at $80,147 at the time of writing. NewsBTC pointed out that Bitcoin is being treated more as a store of value than a mere speculative asset, and the rest of the cryptocurrency market is being affected by this concentration of funds.

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