70% of altcoins on Binance have fallen below their 200-day moving average, nearing levels seen before the August rally.

BlockBeats news, November 7 - Crypto analyst Darkfost posted that from mid-August to the end of September, the market capitalization of altcoins rose by approximately $320 billion, and then the subsequent correction evaporated about $200 billion in market value (nearly two-thirds of the gain).

On Binance, the proportion of altcoins below the 200-day moving average quickly dropped from 82% in mid-August to 10% in early October (almost all of them stood above the moving average), and now this proportion has risen again to about 70%, proving that the altcoin market has returned to an extremely weak state.

Darkfost believes that the reasons for the rapid cooling of the market include shifts in the macroeconomic and political environment: interest rate hikes, geopolitical tensions, uncertainty brought by the midterm election results, and the sharp decline in U.S. stocks (especially tech stocks), which dragged down altcoins. He also hinted that "historically, such extreme situations sometimes signal that the trend may change."