The TOTAL2 market cap, excluding Bitcoin, has reached $1.5 trillion, the highest since January 2025, signaling an accelerating altseason driven by capital rotation from Bitcoin. Investments into altcoins have been bolstered by over $1.7 billion in stablecoin inflows this week, with analysts projecting a potential market cap for altcoins of up to $5 trillion this cycle. This growth reflects increased interest in high-beta altcoins and institutional demand amid a lowered sell pressure in Bitcoin, allowing for capital rotation into altcoins. In particular, substantial stablecoin deposits in derivatives platforms suggest rising leverage interest amongst traders. Although the altcoin market currently stands at around $1 trillion, historical trends indicate that the most significant gains often occur during the final phases of the altseason. Analysts advise caution, as disciplined execution and timing are crucial for capitalizing on potential gains.

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