Analysis: Altcoin Market Cap Evaporates $200B, 70% of Binance Tokens Fall Below 200-Day Moving Average

November 7 — CryptoQuant analyst Darkfost noted that the altcoin market capitalization has shrunk by about $200 billion, with roughly 70% of altcoins on Binance having fallen below their 200-day moving average. From mid-August to end-September, the market cap of altcoins excluding Bitcoin and stablecoins had increased by $320 billion, but the subsequent pullback erased most of those gains.

Darkfost said that in mid-August, 82% of altcoins on Binance were below their 200-day moving average; by early October, that figure had dropped to 10%, with nearly 90% above the line. But afterward, the macro and political environment deteriorated: central banks in the US, Europe and the UK raised interest rates, the midterm election results added uncertainty, and stock markets—especially tech stocks—fell sharply, with the Nasdaq down 14% from its recent high. Altcoin market cap therefore shrank by about $200 billion, erasing nearly two-thirds of the gains from August to September. Currently, about 70% of altcoins on Binance have fallen below their 200-day moving average and are once again approaching 80%, reflecting broad market weakness. Darkfost said that historically, such extreme conditions have sometimes signaled a trend reversal.