Institutional Capital Concentrates on Top Altcoins

Crypto market maker Wintermute says the next altcoin season may look different from previous cycles. Instead of capital spreading across hundreds of cryptocurrencies, institutional investors are expected to concentrate their money in a smaller group of established projects.

Data from Wintermute, CryptoQuant, and Kaiko points to this trend. In the first half of 2026, institutional investors accounted for 72% of spot OTC trading volume, the highest level on record. This figure has steadily increased since H1 2024, when it was at 59%, and H2 2025, when it rose to 61%

According to Wintermute, hedge funds, asset managers, investment funds, and family offices are driving most of the activity, while retail participation remains low. The report found that between H1 2024 and H1 2026, institutional investors increased the number of unique tokens traded by only 24%, while retail traders expanded their token exposure by 76%

Wintermute added that liquidity is flowing into a smaller group of large, liquid assets instead of the broader altcoin market. The top 10 non-stablecoin altcoins now account for about 80.5% of the non-Bitcoin, non-stablecoin market capitalization.