Altcoins Drive 13% Crypto Market Growth in July: Binance Research

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The cryptocurrency market grew by 13% in July, driven by a decisive rotation out of Bitcoin (BTC) and into altcoins, according to Binance Research’s Monthly Market Insights for August.

The shift was fueled by regulatory clarity, macroeconomic optimism, and rising institutional and corporate participation in Ethereum (ETH) and tokenized assets.

Ethereum Leads Altcoins With Corporate Adoption

Ethereum emerged as the standout performer in July, rallying 48% as another 24 companies added ETH to their balance sheets. Corporate holdings of the asset surged 128% to 2.7 million ETH, nearly half the amount now held by ETFs.

Binance Research attributed the trend to ETH’s staking yield, its deflationary supply dynamics, and growing confidence among corporations to hold crypto directly rather than through proxy exposure.

Also read: Top Altcoins for 2025: Best Cryptos To Watch

Bitcoin Dominance Slides

Bitcoin’s dominance fell 5.2 percentage points to 60.6% as capital rotated into altcoins.

Bitcoin dominance (Source: CoinMarketCap)

Analysts linked the decline to anticipation of Federal Reserve interest rate cuts and the passage of three major U.S. crypto bills, including the GENIUS Act, which establishes a framework for fully reserved stablecoins.

Stablecoins Outpace Visa Again

Stablecoin transfer volumes remained robust at $2.1 trillion, surpassing Visa’s network throughput for another consecutive month.

The report highlighted growing institutional exploration of tokenized payments: JPMorgan expanded its deposit-token pilot, Citi tested tokenized deposits for cross-border settlements, and Visa reaffirmed that stablecoins complement its network rather than compete with it.

Tokenized Assets Gain Traction

The report also underscored the explosive growth of tokenized real-world assets (RWAs).

Tokenized stocks saw a 220% month-on-month market cap increase, with Tesla (TSLA) leading trading activity. However, Binance excluded Exodus Movement (EXOD) shares issued through Securitize, arguing they distorted calculations.

Active on-chain addresses for tokenized stocks jumped to 90,000 in July from just 1,600 a month earlier. Centralized exchanges processed more than 70 times the volume of on-chain venues. Binance likened the surge to DeFi’s 2020–2021 boom and estimated that tokenizing just 1% of global equities could create a $1.3 trillion market.

NFTs See a Sharp Rebound

NFTs staged a comeback in July, with overall sales rebounding nearly 50%. The momentum was fueled by a 393% spike in CryptoPunks transactions and a 28% rise in Bitcoin-based NFTs.

Despite the rebound, volumes remain below prior cycle peaks, signaling that the NFT market is still in recovery mode.

Outlook: Altcoin Rotation Could Accelerate

Binance Research concluded that macroeconomic tailwinds, coupled with U.S. regulatory green lights for stablecoins and tokenized assets, could accelerate crypto’s integration into mainstream finance. If conditions hold, the rotation into altcoins may deepen, creating a more balanced and diversified digital asset market beyond Bitcoin.

Author

Steven Walgenbach

Steven's passion for cryptocurrency and blockchain technology began in 2014, inspiring him to immerse himself in the field. He notably secured a top 5 world ranking in robotics. While he initially pursued a computer science degree at the University of Texas at Arlington, he chose to pause his studies after two semesters to take a more hands-on approach in advancing cryptocurrency technology. During this period, he actively worked on multiple patents related to cryptocurrency and blockchain. Additionally, Steven has explored various areas of the financial sector, including banking and financial markets, developing prototypes such as fully autonomous trading bots and intuitive interfaces that streamline blockchain integration, among other innovations.

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