Altcoin Slump Deepens Beyond Post-FTX Levels

Altcoins, broadly referring to cryptoassets other than Bitcoin, tend to have thinner liquidity and greater volatility. The collapse of FTX in November 2022 triggered a market-wide selloff and became a benchmark for stress across the digital-asset sector. A downturn exceeding those post-FTX conditions signals that investors’ appetite for speculative tokens has weakened substantially.

A CryptoQuant analyst said about 38% of altcoins are now trading at or near their all-time lows, indicating broader market weakness than in the aftermath of FTX’s failure. Investors have shifted toward a risk-off stance, with capital moving out of altcoins and into equities and commodities. The analysis did not specify the value of those flows or disclose the exact date used for the market snapshot.