Although Bitcoin trading prices are approaching $70,000, altcoins are caught in a severe hidden bear market. Data shows that 38% of altcoins are trading at or below levels seen after the FTX collapse, with many altcoins, such as Polygon (POL), even approaching historical lows. Axis co-founder Jimmy Xue attributes this to "liquidity exhaustion," meaning that small changes in market sentiment can trigger large-scale sell-offs. While Bitcoin's market share remains high, the search volume for "altcoins" is at a historic low, indicating that the market is in a deep capitulation phase, which often precedes major market reversals.