Altcoins Are Alive: 3 Positive Signals Emerge as Market Fear Reaches Extreme Levels

While total market Capital entered its fourth consecutive week of decline and the market lost nearly $1 trillion in November, the data shows a notable difference in how investors are pulling Capital . Medium and small- Capital assets showed surprisingly positive signals.

What is this signal and what does it mean in the current context? The following report provides a detailed explanation.

3 positive signals for altcoins when the market becomes most pessimistic

The market sentiment index has been in a state of “extreme fear” for most of November. However, some positive signals have emerged, such as rays of hope for altcoins.

First, a report from CryptoQuant compares the market Capital performance of Bitcoin, large- Capital coins, and mid- and small- Capital altcoins. The report shows significant resilience in the low Capital segment.

According to the market Capital comparison chart, Bitcoin experienced the sharpest decline in November. Large-cap Capital , including the top 20 altcoins, also fell, but less. Medium and small-cap Capital only fell slightly and suffered little damage.

“Large Capital are struggling, but not as much as BTC, while mid-small Capital are showing real resilience,” analyst Darkfost commented .

In fact, the chart shows that only Bitcoin and large- Capital market Capital have reached new all-time highs. Mid- and low- Capital assets have yet to return to their late-2024 peaks. From a psychological perspective, when altcoins fall too far — often losing 80–90% of their value — holders often view their assets as “lost.” They have less incentive to panic sell.

This leads to the second notable factor: the difference between Bitcoin Dominance and OTHERS Dominance.

Bitcoin Dominance (BTC.D) measures Bitcoin's share of total market Capital . OTHERS Dominance ( OTHERS.D) measures the market share held by all altcoins except the top 10.

The chart shows that in November, OTHERS.D increased from 6.6% to 7.4%. Meanwhile, BTC.D decreased from 61% to 58.8%.

This difference shows that altcoin investors are no longer prone to panic selling, even at a loss. Instead, they are holding their positions and waiting for a recovery.

History shows that when BTC.D falls and altcoin dominance increases , the market often switches to an altcoin bull cycle .

Additionally, data from Binance shows that 60% of current volume is coming from altcoins, which is the highest level since early 2025.

Analyst Maartunn believes this data highlights where the real trading activity is taking place. Currently, activity is largely concentrated outside of major cryptocurrencies. Altcoins have become a popular means of trading on Binance again.

“History shows that when altcoin volume increases it often coincides with increased speculation in the market,” said maartunn.

In summary, mid- and low-cap Capital are receiving strong liquidation flows. They also show better price performance and higher market share. These factors indicate that altcoin holders have strong expectations for a recovery from the Dip .