Investors move away from obscure altcoins while Bitcoin and Ether dominate market attention
The cryptocurrency market has entered a phase of caution, with sentiment shifting into “Fear” as traders weigh the potential of major assets like Bitcoin, Ether, and XRP. According to market sentiment trackers, investors are pulling back from high-risk, lesser-known altcoins and instead concentrating on large-cap cryptocurrencies.
Market sentiment weakens
On Sunday, the Crypto Fear & Greed Index posted a score of 44, moving into the “Fear” category after several days in “Neutral” territory. This reflects a cooling of risk appetite across the sector. “It’s clear traders are less interested in obscure altcoins and are instead debating which major asset will break out next,” one market intelligence platform noted.
Analysts suggest that the strong focus on large-cap cryptocurrencies signals a more risk-off approach, where traders seek stability over speculative gains. Over the past month, Bitcoin has declined by 5.38%, while Ether gained 9.44%, showing mixed momentum among leading digital assets.
Bitcoin price remains uncertain
Some traders remain cautious about Bitcoin’s short-term outlook. Market analyst Daan Crypto Trades commented, “My base case scenario remains to see a sweep of the monthly lows, which should then cause some panic and fear of it losing $100K.” Despite such warnings, many believe Bitcoin’s next decisive move will set the tone for the broader market.
Meanwhile, CoinMarketCap’s Altcoin Season Index recorded a score of 56 out of 100, placing the market in “Altcoin Season” territory. Yet some experts argue this is a fragile phase. Trader Rekt Fencer described it as “the final shakeout for altcoins,” while MN Trading Capital’s Michael van de Poppe emphasized that many altcoins remain “extremely undervalued.”
As uncertainty lingers, traders continue to watch whether Bitcoin, Ether, or XRP will lead the next upward move, while risk appetite for smaller altcoins remains subdued.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.