Why is the rotation of alts stalled? BTC accounts for 58% of the share but hasn't driven the market.

Question

[Coin World] Recently, the feelings of altcoin players are quite complicated. Logically, with BTC accounting for 58% of the market share, it usually means that capital should have rotated to alts, right? But the reality is that the alt season index is only 22, and this rotation seems to be stuck. An analyst bluntly poured cold water on this: the real market may have to wait until 2026.

Why is this happening? The core issue is that the flow of funds has changed. Institutions are entering through ETFs, and the money is locked in BTC and cannot come out. ETH, on the other hand, remains strong, hovering around $4800; SOL is even more impressive, with transaction confirmations taking only 0.15 seconds, and is seen by many as the next leader.

Looking ahead, the consensus among experts is that if there is a market in 2026, it won't be a broad rise. The macro environment is there, and the market remains cautious. The more likely scenario is that projects like XRP and Chainlink, which have real application scenarios, will emerge, while pure concept-driven alts are likely to continue to suffer.

AirdropSkeptic · Accepted Answer

This move by the institutions is really amazing, using ETFs to trap money in BTC, and we retail investors can only watch.

Waiting until 2026? I think it&#39;s doubtful, by then it will be another round of playing people for suckers.

SOL can indeed perform, but don&#39;t be fooled by the title of the leading brother.

Projects like XRP and Chainlink that have real applications are indeed more reliable than those that are just being speculated on.

The alt season is only at 22, haha, we still have to endure these days.

FromMinerToFarmer · Answer

Institutional money is locked in BTC, and we retail investors can only watch, that&#39;s the reality.

Waiting until 2026? I think it&#39;s unlikely, it&#39;s better to enter a position in SOL.

Pure concept coins really have no hope, only those with applications are hard currency.

The alt season index at 22 is laughable, it&#39;s not even our turn.

ETH holding strong at four thousand eight, much better than those that dropped to zero.

Funds are trapped by the ETF, we can only bet on a few promising projects.

I don&#39;t believe in 2026, but XRP and Link do have some substance.

AirdropHarvester · Answer

This is how institutions enter the market, putting all their money into BTC, and we retail investors are really just spectators.

Wait, 2026? So when will I be able to double my money?

SOL trading in 0.15 seconds, no exaggeration, this speed is indeed amazing, no wonder everyone is aiming for it.

XRP and Link, which have applications, are indeed more resilient to risks, much more reliable than those purely conceptual coins.

The alt season getting stuck is originally for this reason; no wonder it hasn&#39;t been improving.

Funds locked in ETFs cannot be released, this is a natural liquidity dilemma.

Here&#39;s the question: without the rotation of altcoins in a bull market, can this still be called a complete bull market?

I feel that the higher BTC&#39;s market share, the less favorable it is for small coins, it&#39;s going against the trend.

Is there really hope for 2026 or is it just another gimmick to play people for suckers? Who doesn&#39;t know in their heart?

If you ask me, instead of waiting for alt season, it&#39;s better to lie in ambush on projects with fundamentals, surviving to see the day of explosion.

MidnightSeller · Answer

Institutional Lock-up Position for BTC is really impressive, our retail investors&#39; altcoin dreams are once again out of reach...

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Wait, SOL trading at 0.15 seconds? This speed is indeed top-notch, no wonder some people are optimistic about it.

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Is there hope only in 2026? Then what will happen to the garbage coins I’m holding now...

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Does XRP and Link really have practical applications, or are they just being hyped again?

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To put it bluntly, it&#39;s just institutions sucking blood, small retail investors just have to wait a bit longer.

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The alt season index is only 22 haha, this is the current state of my account.

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Once the capital flow changes, it&#39;s over, retail investors can never keep up with the rhythm.

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ETH is being repeatedly tested around 4800, is this testing my mindset?

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Pure concept coins really deserve to die, but can we really judge which ones have practical applications?

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Another story of waiting... forget it, I’ll just go back to sleep.

RugpullTherapist · Answer

Institutional wallets are sealed by BTC&#39;s iron grip, this is the truth, no wonder the alt season index is just lying flat.

Wait, so 2026 is the main course? Does that mean the concept coins I buy now will all be fed to the dogs?

SOL&#39;s 0.15 second block time is indeed impressive, but can this save XRP and Link, these two old relics?

BTC holds a 58% share yet is stuck in rotation, isn&#39;t this just institutions playing their own little game?

It sounds like we have to wait for everything, might as well go all in on ETH and lie flat now.

Oh, pure concept coins are going to continue dying, that would be interesting.

Institutions coming in actually killed the market, this is a reversal I didn&#39;t expect.

The RMB is depreciating, BTC is appreciating, and money is locked inside... I just want to ask if there&#39;s any other way?

It seems we really have to endure until 2026, these two years my alts will just be souvenirs.