The altcoin market has been persistently sluggish recently, a phenomenon that seems closely related to the activity levels on-chain. For some time now, market liquidity has mostly been concentrated in Pumpfun and various on-chain NFT minting activities, making it difficult for the altcoin market to take off.

However, the current on-chain activity has clearly cooled down, and the Pumpfun project issuance has also begun to encounter resistance. Does this mean that the altcoin market is about to welcome a turnaround?

From a macro perspective, since the beginning of 2025, the total amount of stablecoins has shown a continuous growth trend. Although the growth rate is not particularly dramatic, funds are indeed steadily flowing into the crypto market. It is unlikely that all of this new capital will be used for mining or participating in airdrop activities; the market should reasonably see some liquidity entering the alts market.

For the current market, reasonable expectations should perhaps be:

- Bitcoin maintains a relatively stable oscillating trend in the next two months.
- Subsequently, Bitcoin reached a new high, injecting confidence into the overall market.
- Ideally, a rise in Bitcoin can lead the altcoin market to experience about three weeks of an upward cycle, giving investors a chance to recover some losses.

Market participants do not need to expect altcoins to become the dominant force in the market, but at least hope that they can break free from the ongoing losses and achieve a certain degree of value recovery.