The latest correction wave in the cryptocurrency market has severely impacted altcoins, resulting in a significant decrease in trading volume.
According to Darkfost, an analyst at the on-chain data analytics platform CryptoQuant, altcoin trading volume has decreased by approximately 50%, indicating a shift of investor funds back towards Bitcoin.
The analyst noted that Bitcoin has consolidated in the $65,000–$72,000 range after a strong pullback. He stated that numerous whale investors, long-term wallet holders, and institutional participants are active in this price range, and reminded that during periods of deep correction or in the final stages of a bear market, investors typically reduce their altcoin positions and redirect their funds to Bitcoin.
The most striking data point in the recent correction process was the sharp decline in altcoin trading volume. Altcoins, which accounted for 59.2% of Binance’s total trading volume in November, fell to 33.6% as of February 13th. This indicates a drop of approximately 50% in trading activity.
It is noted that similar volume contractions were previously seen in April 2025, August 2024, and October 2022 (towards the end of the bear market). During these periods, it was observed that investors’ risk appetite decreased and capital flowed towards Bitcoin.
Bitcoin’s trading volume tends to increase when uncertainty and stress rise in the markets. This reinforces BTC’s perception as a “safe haven” within the crypto ecosystem. Investors prefer Bitcoin, seen as the benchmark asset, over higher-risk altcoins during periods of increased volatility.
According to analysts, the current picture shows that the market has not yet entered a clear uptrend, but capital rotation is working in favor of Bitcoin. Whether this trend will continue will depend on macroeconomic developments and changes in market risk appetite.
*This is not investment advice.
