Altcoin Marketcap To Hit $5T If Altseason Keeps Up

Key takeaways:

• The TOTAL2 market cap has hit $1.5 trillion for the first time since January.

• Exchanges received over $1.7 billion in stablecoin inflows this week, and analysts think the positioning is toward altcoins.

• TOTAL3 increases remain in an early stage, with analysts eyeing a parabolic rally to $5 trillion.

Capital rotation from Bitcoin (BTC) to altcoins continues with the TOTAL2 market cap (excluding BTC) tagging $1.5 trillion on Friday. This level is the higher time frame resistance, which was last tested in January 2025.

While the markets could stall at this range, the long-term trajectory remains prime for a breakout above $1.5 trillion, eyeing an all-time high market cap of $1.72 trillion. If TOTAL2 closes the monthly candle above $1.51 trillion, it would be the highest positive close for the altcoin index in history. 

Stablecoin surge continues to fuel altseason rally

Cointelegraph recently reported that Binance’s USDT and USDC balances reached a new high of $31 billion in June 2025, underlining sidelined capital. This wave of liquidity has continued to flow as centralized exchanges like Binance and HTX recorded sharp spikes in stablecoin inflows, receiving $895 million and $819 million this week. This shift reflects continued interest in Bitcoin and a potentially deeper accumulation phase for high-beta altcoins.

On July 16, over $2 billion worth of stablecoins, primarily USDT, were deposited into major derivatives platforms, suggesting a significant uptick in leverage appetite among sophisticated traders. Tether Treasury’s fresh mints back the narrative of institutional demand, with a growing inclination toward risk-taking.

While Binance dominated more than 55% of global trading volume, over $8 billion daily, whale BTC deposits have dropped by $2.25 billion, suggesting reduced sell pressure for Bitcoin, freeing up room for capital to rotate into the altcoin market.

While Bitcoin remains the liquidity anchor, the data points to a growing undercurrent among institutions and high-volume traders may already be positioning ahead of the next major altcoin breakout.

Related: SUI’s next ‘altcoin season’ stop could be $5: Here’s why

Altseason still in early stages as TOTAL3 eyes $5 trillion

The broader altcoin market, excluding Ethereum, remains in the early stages of what many…