Bitcoin Rises as Thousands of Altcoins Disappear

According to a new chart analysis from Alphractal, the number of active cryptocurrencies has declined significantly even as Bitcoin’s price continues to climb.

This market trend, based on CoinMarketCap data, reveals a culling of weaker projects—over 1,400 altcoins are no longer active due to delistings, low trading volume, lack of community interest, or exposure as scam ventures.

The chart shows two overlapping metrics: Bitcoin’s price in black and the number of active cryptocurrencies in blue.

Since early 2024, there has been a sharp drop in the number of listed projects, coinciding with Bitcoin’s steady rise back above $100,000. As of July 2025, the number of tracked active tokens has fallen to around 10,000, down from over 11,400 at the cycle’s peak.

Alphractal’s interpretation of this divergence is broadly positive. The exit of underperforming or fraudulent projects is seen as a form of market cleansing—removing noise and making room for quality. In previous cycles, similar drops in token count have signaled a return to fundamentals and renewed investor focus on core assets like Bitcoin and Ethereum.

Analysts say this shrinking project pool is bullish for crypto. With fewer “zombie” tokens competing for attention and liquidity, capital increasingly flows toward high-conviction plays. Bitcoin’s resilience against the backdrop of widespread project failures supports the narrative that it remains the digital asset market’s anchor.

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The delisting of 1,400+ coins may also help restore trust in crypto markets. Many of the defunct tokens were launched during speculative hype phases and failed to deliver real use cases or development activity. Their removal reduces confusion for new investors and highlights the importance of due diligence.

In short, Alphractal’s report presents a healthy sign: fewer tokens, stronger conviction. As Bitcoin rises and the altcoin landscape thins out, the market appears to be entering a more mature, selective growth phase.

Kosta Gushterov

Kosta has been working in the crypto industry for over 4 years. He strives to present different perspectives on a given topic and enjoys the sector for its transparency and dynamism. In his work, he focuses on balanced coverage of events and developments in the crypto space, providing information to his readers from a neutral perspective.