Crypto Market Loses $200 Billion as Smart Money Buys Altcoins
The crypto market experienced a $200 billion loss, causing panic among retail traders and dropping the Crypto Fear and Greed Index to 28. Despite this, whales and institutional investors seized the opportunity to acquire altcoins at lower prices.
- Ether.fi saw $6.6 million inflows.
- Ethena recorded $4.2 million in whale accumulation, rising 10% on October 1.
- Maple Finance and Avalanche also attracted investor interest.
Potential Altcoin Season Led by Ethereum
Ethereum continues to attract institutional buying. New wallets, likely linked to BitMine, received 51,255 ETH ($213 million) from FalconX.
Ethereum ETFs noted $674 million net inflows after previous outflows. The SEC's pending decision on 16 altcoin ETFs in October could be pivotal, with analysts viewing this as a potential catalyst for an altcoin season.
Improving Sentiment in the Altcoin Market
The total crypto market cap, excluding Bitcoin and Ethereum, is $1.1 trillion, showing signs of stabilization. Bollinger Bands on the daily chart are tightening, suggesting a breakout may be imminent. If RSI increases, it could confirm bullish momentum for top altcoins.
Traders should monitor upcoming token unlocks from Solana, SUI, and Aster, which might cause temporary price fluctuations.