Altcoin Sell Pressure Hits Most Extreme Level in Five Years: CryptoQuant Report

Highlights:

• The altcoin sell pressure has reached a five-year extreme after 13 straight months of net CEX selling.
• The cumulative buy and sell difference has widened to a negative $209 billion since early last year.
• Some analysts have noted that long consolidation phases have historically preceded strong altcoin expansion.

CryptoQuant data shows that altcoins are facing sustained selling across centralized exchanges. Altcoin sell pressure has reached its highest level in five years. Altcoins have experienced consecutive net sells in CEX spot markets for thirteen consecutive months. The cumulative buy and sell difference now stands at a negative $209 billion.

According to CryptoQuant contributor IT Tech, this marks the most sell-dominant phase in the past five years. He pointed out that the same indicator was close to zero in January last year. At that time, buyers and sellers were largely balanced. Since then, each month has added to the negative spread.

The CryptoQuant contributor said the figures reflect steady distribution in spot markets rather than short-term volatility. He added that centralized exchanges are still showing net outflows across a broad range of altcoin pairs. Buyers have not absorbed the ongoing supply during this period.

Bitcoin has retreated from its October high above $125,000 and is trading near $67,500. Exchange data shows that spot volumes across several altcoin pairs have declined during that move. Mid-cap tokens are displaying thinner order books compared to earlier in the cycle. Retail trading activity has also slowed across many altcoin listings.

During the 2022 downturn, selling pressure eased before prices stabilized. This cycle has not shown a similar pause. Net selling has continued across each quarter of the past year. The Altcoin Season Index currently reads 37 out of 100, while Bitcoin dominance stands close to 60%. TOTAL2, which tracks altcoin market capitalization excluding Bitcoin, remains below $1 trillion.

Capital Crowds Into Bitcoin as Liquidity Spreads Across Millions of Tokens

The number of listed tokens has expanded sharply in recent years. Exchanges listed roughly 430,000 tokens five years ago. Today, more than 31.8 million tokens compete for trading activity.

Millions of tokens are now competing for the same pool of buyers on centralized exchanges. Smaller projects often trade with a limited order book depth. Even moderate sell orders can push prices faster in smaller-cap cryptocurrencies.

According to CoinGecko data, over half of the listed cryptocurrencies failed by the end of last year. More than 11 million tokens ceased trading or became irrelevant in the market in 2025 alone. That rotation has brought about competition within the altcoin segment.

Similar positioning is reflected in derivatives markets. Long and short ratio data indicate that the traders are holding greater long exposure in the Bitcoin contracts than in the altcoin contracts. Various trading desks are leveraging less in smaller tokens and remaining exposed to Bitcoin.

Why Altcoin Sell Pressure Is Becoming the Key Market Signal

The negative $209 billion reading does not confirm a market bottom. It shows that net selling has continued for more than a year. Excluding the top ten tokens, the market capitalization remains below $200 billion, which leaves smaller assets more exposed to liquidity pressure.

Despite the metrics pointing to a weakening altcoin season, some analysts hold a different view. An analyst on X said the current stagnation does not represent a structural failure. He stated that the previous altcoin rallies began after extended consolidation phases.

According to that analyst, long periods of sideways price movement often occur before broader expansion. He said that retail traders are now focusing primarily on Bitcoin price action. At the same time, he suggested that larger investors may position gradually across selected altcoin sectors.