Bitcoin Hits New High—But Altcoins Tell a Different Story
Bitcoin’s climb to a fresh all-time high on Thursday didn’t exactly light a fire under the rest of the crypto market. Some altcoins surged ahead, while others barely budged. And the split wasn’t random—it followed clear trends.
DeFi tokens and layer-2 blockchain projects were among the biggest winners, riding what looks like a shift toward riskier bets. Meanwhile, older names like Bitcoin Cash, Litecoin, and Monero barely moved, almost like they’ve been left behind. Even Solana, which had its moment in the spotlight last cycle, only inched up around 4%. Meanwhile, tokens like Sei, Ethena, and Optimism jumped as much as 28%.
Thomas Perfumo, Kraken’s global economist, pointed out that altcoins are driving this rally—unlike past cycles where Bitcoin hogged the spotlight. Bitcoin’s dominance (its share of the total crypto market) actually dipped slightly, from 64% to 63.5%. Small change, maybe, but it hints at where the money’s flowing.
This Cycle Feels Different
Crypto markets have always been cyclical, swinging between euphoria and panic at all hours. In the past, altcoins tended to move in lockstep—either all rising together during Bitcoin’s quiet periods or crashing in unison when it stumbled.
This time? Not so much. The difference might come down to who’s buying. Institutions are deeper in the game now, and their interest seems to be shaping the action. Take Ethereum, for example—its steady rise could be pulling attention toward DeFi tokens as investors hunt for higher yields.
Layer-2 networks are another beneficiary. With Ethereum still grappling with congestion and high fees, projects like Arbitrum—where transactions are faster and cheaper—are seeing real demand. Its ARB token jumped 15% in a day.
But Not Everyone’s Convinced
Petr Kozyakov, CEO of Mercuryo, isn’t buying the altcoin hype. He thinks Bitcoin’s role as a store of value will keep sucking up most of the attention. “Big players can’t ignore it,” he said, especially with Ethereum briefly topping $3,000 but still playing second fiddle.
Then there’s Arthur Hayes, the BitMEX founder turned crypto cheerleader. He’s all-in on altcoins, predicting a “monster alt season” and even tossing out a $10,000 price target for Ethereum. If he’s right, Bitcoin might take a backseat for a while as traders chase bigger—and riskier—gains elsewhere.
But here’s the catch: if money floods into altcoins, the older guard—coins like Litecoin or Monero—could get left in the dust. They don’t have the same catalysts, and right now, the market seems to care less about nostalgia and more about what’s next.
