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Analysis: Altcoin trading volume falls below annual average, market enters "dollar-cost averaging accumulation phase"

Analysis: Altcoin trading volume falls below annual average, market enters "dollar-cost averaging accumulation phase"

2025-12-08 18:26

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ChainThink message, December 8: CryptoQuant analyst Darkfost recently published a post stating that altcoin performance has generally underperformed during this cycle, prompting investors to adopt greater caution in selecting altcoins. However, latest trading volume data suggests the market may be entering a more favorable phase for dollar-cost averaging (DCA) into altcoins.


Recent data shows that the 30-day trading volume of altcoins denominated in stablecoins has once again fallen below the annual average—a range historically viewed as a "positioning phase," ideal for investors betting on the continuation of a bull market to gradually accumulate positions.


The analysis indicates that this low-volume phase could persist for several weeks or even months, providing a relatively ample time window to optimize DCA strategies. However, given the current high uncertainty in market conditions, investors should simultaneously establish stop-loss and invalidation strategies to guard against further downside. Moreover, this cycle has clearly demonstrated that when trading volume rebounds and sentiment revives, timely profit-taking becomes critical.

Analysis: Altcoin trading volume falls below annual average, market enters "dollar-cost averaging accumulation phase"
#Bull Market

Disclaimer: Contains third-party opinions, does not constitute financial advice

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