Altcoins Under Renewed Pressure as Exchange Inflows Hit 2025 High

Despite a promising start to October, the altcoin market is showing signs of persistent selling pressure, failing to fully recover from a recent significant downturn. On-chain data reveals a worrying trend: a surge in altcoin deposits to centralized exchanges, indicating waning investor confidence and potentially foreshadowing a deeper market correction.

Exchange Inflows Surge: A Bearish Indicator?

According to Julio Moreno, Head of Research at CryptoQuant, altcoins are increasingly flowing into centralized exchanges in large volumes. This phenomenon, measured by the Exchange Inflow Transaction Count, is generally considered a bearish signal. It suggests that investors are moving their digital assets to platforms like Binance—which accounts for the majority of these inflows—with the intention of selling, reflecting a less optimistic sentiment in the market. The number of such transactions has now reached an unprecedented high for 2025.

Market Capitalization Under Pressure

The broader cryptocurrency market, excluding Bitcoin, currently stands at approximately $1.45 trillion, marking a slight decline of over 1% in the last 24 hours. More critically, altcoins have shed nearly 13% of their value over the past week alone. While a continuous influx of assets into exchanges could signal a prolonged period of downward movement, a peak in this metric might also indicate a market bottom and a potential reversal for the altcoin sector. Investors are advised to conduct thorough research before making any investment decisions.