Currently, altcoin markets are experiencing stagnation, with the total market capitalization below its all-time high from November 2021. Ki Young Ju, CEO of CryptoQuant, pointed out that capital is merely circulating between projects without fresh inflows, leading to a zero-sum environment. The altcoin market capitalization sits around $943 billion, having briefly peaked at $1.1 trillion during the late 2024 rally. Ju noted that the altseason is no longer fueled by capital rotation from Bitcoin to altcoins; rather, it will rely on stablecoin liquidity and the number of stablecoin trading pairs. This shift indicates true market demand as new capital enters. Additionally, investment flows toward Bitcoin and Ether ETFs signify a fundamental change, complicating movement into altcoins from within the ETF ecosystem. Felix Hartmann of Hartmann Capital suggested that significant movement in altcoin positions may not occur until late January 2025, during a consolidation phase.

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