In the second week of September, the altcoin season index reached 80 points, officially entering the acceleration phase. This is the stage when capital often flows into low-cap altcoins, even if they lack major news events.
On-chain data shows that some altcoins with a market capitalization below $200 million are experiencing sharp declines in exchange reserves. This typically signals increasing accumulation.
1. Euler (EUL)
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Euler (EUL) is a non-custodial, permissionless lending protocol on Ethereum. The project launched in 2020 and raised $40 million from VCs such as Paradigm and Coinbase Ventures. In 2023, the protocol suffered a hack that caused nearly $200 million in losses.
The token’s current market capitalization stands at $181 million, according to CoinMarketCap. A recent listing on Bithumb drew significant attention from retail investors.
Santiment data shows that the September 5 listing triggered a sharp drop in exchange reserves, which fell to their lowest level in a year. Only 289,000 EUL remain on exchanges, meaning more than 500,000 EUL are left since the August peak.
In addition, the protocol’s total value locked (TVL) reached a new high in September, surpassing $1.5 billion. DefiLlama data shows TVL has increased tenfold since the beginning of the year.
This means the protocol’s TVL is more than seven times its market capitalization. Investors may view this as a bullish indicator contributing to the steep decline in exchange reserves.
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“Not many protocols can run it back after a $200M hack. But you gotta give it to Euler Finance for the insane comeback journey,” investor Anze commented.
2. COTI
COTI is a fast and lightweight confidentiality layer on Ethereum. It introduces a highly advanced and compliant solution for data protection on the public blockchain.
COTI’s market capitalization remains under $120 million. The token’s price performance has been lackluster, fluctuating around $0.05 for the past three months.
Recent data, however, shows that exchange reserves dropped sharply in the past two days to 812 million tokens, near the yearly low.
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Charts reveal a prolonged downtrend in exchange reserves, mirroring the price decline. The sideways movement in recent months further supports the idea of ongoing accumulation.
If capital rotation in this altcoin season plays out as analysts expect, low-performing tokens like COTI could attract fresh attention.
Meanwhile, COTI’s TVL spiked in July, with more than 8 million tokens locked — equivalent to nearly half a billion dollars.
3. Robonomics Network (XRT)
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Robonomics Network earns a spot on this list because of the growing interest in combining robotics with tokens. Experts expect this sector to become a strong candidate for the 2025 altcoin season.
“Crypto x robotics will be retail’s bet on what may be the biggest and most disruptive secular growth trend we’ve ever seen,” predicted Simon Dedic.
Robonomics Network is a suite of open-source packages for Robotics, Smart Cities, and Industry 4.0 developers. XRT has a very small market capitalization, under $10 million, and low trading volume, making it highly risky.
However, Santiment data suggests a positive outlook. The token’s price has held around $2 since the beginning of the year, even as exchange reserves rose. By September, reserves began to decline from their peak, suggesting renewed accumulation.
Some investors believe XRT could potentially increase 100 times if the robotics sector gains more attention soon.
