Bitcoin continues to face strong selling pressure, with the price struggling to reclaim the critical $100K mark. The market sentiment remains cautious as investors weigh the potential for a deeper correction or a renewed rally. This period of uncertainty highlights the unique dynamics of Bitcoin’s post-halving cycle, a phase often marked by distinct price movements and shifts in market behavior.
Top analyst Daan shared insightful data revealing a historical trend: BTC has typically experienced significant downward moves during the post-halving and final year of its cycle. However, this period is also renowned for its unique market opportunities. According to Daan, while Bitcoin’s price might encounter headwinds, the broader crypto market—particularly altcoins—tends to enter a euphoric phase during this time.
Metrics suggest that although Bitcoin maintains its upward trajectory, altcoins are poised to capture substantial investor attention. This phenomenon underscores the cyclical nature of the crypto market, where BTC often sets the stage for altcoin surges. With BTC struggling to find its footing below $100K, the market is bracing for a potential shift that could see altcoins dominate in the coming months. Will BTC reclaim its strength, or will altcoins steal the spotlight this cycle?
Bitcoin Bull Cycle And Post-Halving Dynamics
Last year proved to be outstanding for Bitcoin investors, with the leading cryptocurrency surging over 150%, marking one of the most impressive annual performances in its history. However, the same cannot be said for altcoin holders. While a handful of altcoins delivered notable returns, most investors had high expectations for coins like Ethereum, which underperformed despite the broader market’s bullish momentum.
Daan recently shared insights into Bitcoin’s dominance chart, shedding light on a critical trend observed during bull cycles. Historically, BTC tends to lose market dominance considerably in the post-halving and final year of the cycle. This phase is characterized by a market-wide euphoria, often driven by retail investors flooding into altcoins. It is during this period that many altcoins experience inflated prices, entering their most explosive growth phases.
Daan’s analysis emphasizes the cyclical nature of Bitcoin dominance. While BTC often leads the charge early in the bull cycle, its dominance wanes as altcoins capture a larger share of market liquidity. This shift typically coincides with the euphoric stage of the cycle, where retail enthusiasm drives altcoin prices to unprecedented levels.
As 2025 progresses, market participants are closely watching for a repeat of this pattern. Bitcoin’s robust performance last year laid a solid foundation for the market, but if history is any indication, this could be the year of altcoins. Whether Bitcoin’s dominance declines significantly or remains resilient will likely shape the dynamics of the broader crypto market in the months ahead.
Price Consolidation Below $100K
Bitcoin is currently consolidating below the $100,000 mark following a monumental rally that set a new all-time high at $108,000. This period of consolidation is critical for determining the next major move in BTC’s price. Bulls are striving to maintain control by holding the price above the $92,000 level, which serves as a significant demand zone and a foundation for a potential rally.
If Bitcoin holds above $92,000, it could signal the start of an enormous surge in the coming weeks, with market participants eyeing a retest of the $100K level and potentially a breakout toward new highs. The bullish structure remains intact, but volume and buying pressure will be essential to sustain upward momentum.
However, there is a risk of a deeper correction if the $92,000 support fails to hold. A drop below this key level would likely expose Bitcoin to further downside, with the $90,000 mark acting as the next line of defense. Should this level give way, BTC could plummet to as low as $85,000, intensifying bearish sentiment in the short term.
Featured image from Dall-E, chart from TradingView
