Altcoin trading volume against Bitcoin has surged fourfold, with leverage rising across the market. Trader Doctor Profit has taken profits on positions in ONDO and HBAR, reducing altcoin exposure and opening a short on Bitcoin. Analyst Darkfost notes warning signs including a 45% inflow into altcoin market cap since June 2026 and 87% of Binance altcoins trading above their 200-day moving average. Rising deposit transactions and a developing bearish divergence on Total2’s RSI suggest momentum may be cooling.
Altcoin spot trading volume now sits four times higher than that of Bitcoin, a signal that leverage across the market has also increased. The sharp rise in activity has prompted one trader to take profits and reduce exposure to altcoins.
Trader Doctor Profit stated that ONDO was sold with a 73% profit, while HBAR was closed with a smaller gain. XRP remains on watch, with a possible entry planned at a better price. The trader said there is no interest in buying altcoins while market conditions remain this hot, calling altcoins a “great distraction and liquidity grab.” He added, “This is why I’m out of Alts!”
Instead, Doctor Profit is betting on a Bitcoin correction, reiterating his previous stance. A short position was opened at $86,200, and additional short orders were placed between $86,500 and $89,500. While he remains bullish overall, the trader had previously pointed to a potential pullback toward $79,000, near the 50-week moving average, before the broader uptrend continues. The analyst had flagged bearish signals across RSI, MACD/PPO, and MFI, while ADX showed weaker trend strength.
Analyst Darkfost also identified several warning signs. According to data cited, Total2—which tracks altcoin market cap including Ethereum—absorbed more than $371 billion in inflows since June 2026, a 45% increase in just a few months. On Binance, 87% of listed altcoins are now trading above their 200-day moving average, a major shift from August when 80% were still below that level. Darkfost explained that the move is indicative of growing euphoria around altcoins, something historically difficult to sustain for long.
Another signal is the rise in altcoin deposits to exchanges. Weekly deposit transactions have climbed above 22,700 on Binance and 8,300 on Coinbase, with another 32,000 across other platforms. Darkfost also pointed to a developing bearish divergence on Total2’s RSI, which suggests that altcoin momentum could be starting to cool after the recent surge.
