38% of Altcoins Near All-Time Lows, Worse Than FTX: Is Altcoin Season Dead or Loading?

Nearly 4 out of 10 altcoins are now trading near their all-time lows. CryptoQuant author Darkfost dropped the data, and the numbers are hard to ignore.

At 38%, this is the largest altcoin regression observed during this entire cycle, surpassing even the aftermath of FTX’s collapse in 2022, when the metric hit 37.8%. In April 2025, it stood at 35%. The trend is moving in the wrong direction.

As Coinbureau put it: “This is the BIGGEST ALTCOIN WIPEOUT of this cycle.”

Why the Altcoin Market Keeps Bleeding

Darkfost pointed to a clear liquidity problem.

“The overall environment remains unfavorable for risk-taking, and the first sector to bear the consequences is the cryptocurrency market, particularly altcoins,” he wrote.

Gold has surged past $5,000 this year as investors chase safety. Meanwhile, even Bitcoin miners are liquidating $BTC reserves to fund AI infrastructure, with firms like Core Scientific and Bitdeer dumping their entire holdings. Capital seems to be leaving the crypto sector altogether.

The Israel Iran war is adding pressure. After U.S.-Israeli strikes over the weekend, Bitcoin briefly dropped to $63,000 before bouncing back above $65,000. The geopolitical shock triggered over $300 million in liquidations across crypto futures, and altcoins absorbed the worst of it.

Also Read: Who Dumped $5B in Bitcoin as Israel Strikes Iran? Binance and Wintermute Wallets Flagged Again

But Bitcoin Is Setting Up for Something Bigger

This is the other side of the story.

Crypto analyst Michaël van de Poppe sees a very different setup forming on Bitcoin’s chart. $BTC held above $65K, rallied toward range resistance, and has been consolidating for weeks.

“With this build-up, I think that we’ll see $75-80K in March,” Van de Poppe posted on X.

That’s a bullish thesis. If Bitcoin breaks out while altcoins remain pinned near historic lows, the divergence could define this entire quarter.

Is Altcoin Season Loading?

Darkfost left the door open.

“It is precisely when conditions deteriorate significantly that opportunities also begin to emerge,” he noted.

History backs that pattern. The post-FTX bottom eventually led to one of the strongest rallies in crypto history. Whether this cycle follows the same script depends on whether liquidity returns to altcoins or continues concentrating in Bitcoin.

For now, the altcoin market is at its weakest point this cycle. What happens next could separate the dead projects from the survivors.

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