Altcoins advanced sharply last week while Bitcoin (BTC) held near record levels, shifting market leadership toward higher-beta tokens, according to the latest edition of the “Bitfinex Alpha” report.
Bitcoin reached an all-time high of $123,054, a 65% climb from its April low, before entering a sideways range between $116,000 and $120,000.
As the flagship crypto entered a phase of consolidation, its share of the total crypto market cap fell 6.9% after seven consecutive daily declines in the dominance index, the steepest decline since December 2023.
Such dominance contractions without a concurrent BTC sell-off have historically marked the onset of altcoin-led phases.
Ethereum (ETH) rallied 19.45% and XRP 21.4% over the week. Meanwhile, the market index excluding stablecoins and the top ten assets, referred to as the “Others” index, climbed 35%, equating to approximately $85 billion.
Solana (SOL) also outperformed, drawing liquidity from Bitcoin as traders sought greater upside. The breadth of the move signals broader participation beyond early-cycle BTC accumulation, a pattern typical in mid-cycle expansions when investors raise risk tolerance.
Despite losing relative share, Bitcoin still trades above the cost basis of 95% of coins in circulation.
Long-term holders have shifted to net distribution, transferring coins to shorter-term wallets, ETFs, and retail entrants.
The spot price now sits just below the short-term holder band near $120,000, a level that historically attracts profit-taking. The next statistical resistance lies near $136,000.
This structure leaves Bitcoin fundamentally firm yet more reactive to dips, while altcoins capture incremental flows.
Market mechanics suggest a baton pass rather than a reversal. Bitcoin’s consolidation above realized cost maintains a supportive floor, but relative momentum rests with altcoins as capital rotates.
Whether the rotation endures will rely on continued spot demand for Bitcoin and sustained liquidity in large-cap tokens.
For now, performance dispersion defines the landscape, with altcoins setting the pace while Bitcoin digests earlier gains.
