CryptoQuant analyst Darkfost made an interesting observation: around 84% of altcoins listed on Binance are trading below their 200-day moving averages. This points to broad underperformance across the sector, a trend that has now lasted for almost eight months.
According to the analyst, altcoins have been the hardest-hit segment of the current bear market. Every recovery attempt has failed, while the TOTAL3 index, which tracks altcoin market capitalization excluding Bitcoin and Ethereum, continues to decline. A weekly close below the 200-day moving average has already been confirmed.
Altcoin Underperformance Nears Eight Months
According to Darkfost, around 84% of altcoins listed on Binance are in a state of severe underperformance and are trading below a key technical level: the 200-day moving average. The chart covers all altcoins available for spot trading on Binance, one of the world’s largest crypto exchanges by volume.
Darkfost emphasized that this pattern has persisted for almost eight months. The chart also shows that altcoins have remained closely tied to Bitcoin’s price dynamics throughout the cycle.
According to him, this is the second-longest underperformance streak since 2020. The only comparable period came during the previous bear market, when similar conditions lasted for around ten months. The prolonged stagnation across most altcoins is now testing investor patience.
When Pressure Creates Opportunity
The analyst noted that the current setup confirms the broader bearish trend. However, similar periods have historically also created medium-term entry opportunities.
According to Darkfost, finding those opportunities has become more difficult than in previous cycles. It now requires much stricter and more careful asset selection.
He made it clear that the period of broad market rallies, when almost the entire altcoin sector moved higher together, is likely over. From here, performance will depend more on choosing specific tokens than on the overall direction of the segment.
