After a period of decline triggered by global uncertainty, altcoins are showing signs of revival.
Sygnum Bank’s Q3 analysis points to improving market conditions, with clearer regulations and rising liquidity drawing capital back into the sector.
Bitcoin’s dominance is slipping as funds flow into smaller tokens. Still, BTC remains strong, hitting new highs above $123,000, powered by surging ETF demand and a persistent supply squeeze. Over $160 billion in assets are now held in Bitcoin spot ETFs.
Ethereum is also gaining ground. A recent protocol upgrade, combined with the SEC’s clarification that staking isn’t a security, has boosted institutional interest. Sharplink is preparing a $1 billion ETH investment, while banks like Société Générale are rolling out tokenized assets on the Ethereum network.
Meanwhile, decentralized exchanges hit record volumes, now capturing 30% of all crypto spot trades. DeFi lending has surged, with locked value and liquid staking both reaching new peaks. Still, Sygnum cautions that the memecoin-driven hype could trigger another sharp correction if left unchecked.
The next phase of growth may depend less on speculation and more on real-world applications.
