Bitcoin has reached a new all-time high price mark of $123,054 recently, having appreciably risen by 65 percent since April. Since, then it has consolidated with $116,000 and $ 120,000. Last week alone, the BTC share of the overall cryptocurrency capitalization dropped by 6.9%, the most significant decline since December 2023, and did not correct the price at a large scale, a typical characteristic of historic altcoin rallies.
The rotation is powered by big-cap Altcoins
Ethereum opened up by 19.45 percent, XRP was up 21.4 percent and Solana did even better as traders rotated near term capital into higher beta names. The index of the rest (the remaining that is not made up of stable coins. Furthermore, ten most valuable assets) . Was up by 35% and brought to the index a value of about 85 billion dollars. It has been portrayed by the broad move that represents the increase in risk appetite and a classic mid-cycle expansion period has begun.
Behavior Change in the Holders
Even though Bitcoin is still strong above the cost basis of 95 percent of coins, long-term holders are gifting to ETFs and wallets of retail investors. The BTC is trading slightly below the short-term holder band at around 120 000 U.S. dollars, a critical profit-taking level. The resistance is still within the range of the $136,000 mark. Which exposes BTC to a downturn as altcoins focus on receiving more funds.
Altcoin Momentum Favoured
The analysts interpret the change as a passing of baton rather than a reversing of a trend. Bitcoin is structurally sound, yet the altcoins are on the rise. The strength of the turnover is based on the persistence of demand and liquidity of BTC spots. In the meantime, the market is characterized by performance dispersion and is led by altcoins.
