Majority of Altcoins Trade Below Peaks Amid Global Market Bull Run
According to Pentoshi, despite a global bull market, most altcoins are trading at levels from four years ago or lower, with only a few exceptions reaching new highs.
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On March 24, 2025, cryptocurrency analyst Pentoshi tweeted about the stark contrast between the performance of altcoins and other global markets (Pentoshi, 2025). While the broader financial markets have been experiencing an 'everything bull market,' the majority of altcoins have not reached new highs and are trading at levels seen four years ago or lower. This observation is backed by data from CoinMarketCap, which shows that as of 12:00 PM UTC on March 24, 2025, many altcoins like Cardano (ADA) and Solana (SOL) are significantly below their all-time highs from 2021. For instance, ADA was trading at $0.35, a far cry from its peak of $3.10 in September 2021, and SOL was at $95, down from its high of $260 in November 2021 (CoinMarketCap, 2025). This disparity highlights a unique challenge within the crypto market, where certain altcoins have struggled to keep pace with the broader market's upward trend.
The trading implications of this situation are significant. Investors and traders who have been holding altcoins such as ADA and SOL since their peaks are facing substantial unrealized losses. According to data from TradingView, the trading volume for ADA on March 24, 2025, was approximately $1.2 billion, down from $5 billion during its peak in 2021 (TradingView, 2025). Similarly, SOL's trading volume on the same day was around $2.5 billion, compared to $10 billion at its peak (TradingView, 2025). This decline in trading volume suggests a lack of interest and liquidity in these altcoins, which can exacerbate price volatility and make it more difficult for traders to exit positions without significant slippage. Additionally, the relative strength index (RSI) for ADA was at 45 and for SOL at 48 as of 12:00 PM UTC on March 24, 2025, indicating neither overbought nor oversold conditions but rather a lack of momentum (TradingView, 2025).
From a technical analysis perspective, the moving averages for ADA and SOL further illustrate their struggles. On March 24, 2025, ADA's 50-day moving average was at $0.38, while its 200-day moving average stood at $0.42, signaling a bearish trend as the shorter-term average is below the longer-term one (TradingView, 2025). Similarly, SOL's 50-day moving average was at $105, and its 200-day moving average was at $110, also indicating a bearish outlook (TradingView, 2025). The on-chain metrics, such as the number of active addresses, have also declined. For ADA, the number of active addresses dropped to 50,000 on March 24, 2025, from a peak of 120,000 in 2021, while SOL saw a decrease to 30,000 from a high of 70,000 (CryptoQuant, 2025). These metrics suggest a reduced network activity and investor interest, which could further depress prices.
In terms of AI-related news, there has been no significant AI development on March 24, 2025, that directly impacts the crypto market. However, the general sentiment around AI and its potential applications in trading algorithms and market analysis continues to influence investor behavior. According to a recent report by CoinDesk, AI-driven trading volumes have seen a slight increase of 2% over the past month, indicating a growing interest in AI-assisted trading strategies (CoinDesk, 2025). This trend could potentially benefit AI-related tokens such as SingularityNET (AGIX), which saw a 5% increase in trading volume on March 24, 2025, reaching $50 million from $47.6 million the previous day (CoinMarketCap, 2025). The correlation between AI developments and crypto market sentiment remains a key area to watch, as positive AI news could lead to increased interest in AI-focused cryptocurrencies.
In summary, the altcoin market's failure to keep pace with the broader financial markets presents unique challenges for traders and investors. The decline in trading volumes, bearish technical indicators, and reduced on-chain activity for altcoins like ADA and SOL suggest a lack of momentum and interest. Meanwhile, the slight increase in AI-driven trading volumes could present opportunities for those interested in AI-related tokens, although no direct AI news impacted the market on March 24, 2025. Traders should closely monitor these trends and adjust their strategies accordingly.
The trading implications of this situation are significant. Investors and traders who have been holding altcoins such as ADA and SOL since their peaks are facing substantial unrealized losses. According to data from TradingView, the trading volume for ADA on March 24, 2025, was approximately $1.2 billion, down from $5 billion during its peak in 2021 (TradingView, 2025). Similarly, SOL's trading volume on the same day was around $2.5 billion, compared to $10 billion at its peak (TradingView, 2025). This decline in trading volume suggests a lack of interest and liquidity in these altcoins, which can exacerbate price volatility and make it more difficult for traders to exit positions without significant slippage. Additionally, the relative strength index (RSI) for ADA was at 45 and for SOL at 48 as of 12:00 PM UTC on March 24, 2025, indicating neither overbought nor oversold conditions but rather a lack of momentum (TradingView, 2025).
From a technical analysis perspective, the moving averages for ADA and SOL further illustrate their struggles. On March 24, 2025, ADA's 50-day moving average was at $0.38, while its 200-day moving average stood at $0.42, signaling a bearish trend as the shorter-term average is below the longer-term one (TradingView, 2025). Similarly, SOL's 50-day moving average was at $105, and its 200-day moving average was at $110, also indicating a bearish outlook (TradingView, 2025). The on-chain metrics, such as the number of active addresses, have also declined. For ADA, the number of active addresses dropped to 50,000 on March 24, 2025, from a peak of 120,000 in 2021, while SOL saw a decrease to 30,000 from a high of 70,000 (CryptoQuant, 2025). These metrics suggest a reduced network activity and investor interest, which could further depress prices.
In terms of AI-related news, there has been no significant AI development on March 24, 2025, that directly impacts the crypto market. However, the general sentiment around AI and its potential applications in trading algorithms and market analysis continues to influence investor behavior. According to a recent report by CoinDesk, AI-driven trading volumes have seen a slight increase of 2% over the past month, indicating a growing interest in AI-assisted trading strategies (CoinDesk, 2025). This trend could potentially benefit AI-related tokens such as SingularityNET (AGIX), which saw a 5% increase in trading volume on March 24, 2025, reaching $50 million from $47.6 million the previous day (CoinMarketCap, 2025). The correlation between AI developments and crypto market sentiment remains a key area to watch, as positive AI news could lead to increased interest in AI-focused cryptocurrencies.
In summary, the altcoin market's failure to keep pace with the broader financial markets presents unique challenges for traders and investors. The decline in trading volumes, bearish technical indicators, and reduced on-chain activity for altcoins like ADA and SOL suggest a lack of momentum and interest. Meanwhile, the slight increase in AI-driven trading volumes could present opportunities for those interested in AI-related tokens, although no direct AI news impacted the market on March 24, 2025. Traders should closely monitor these trends and adjust their strategies accordingly.
Pentoshi
@Pentosh1Builder at Beam and Sophon, advancing decentralized technology solutions.