Bitcoin’s recent performance feels like a force of nature, draining the life from altcoins, leaving even the once-immune Meme coins in its wake. Historically, the relationship between Bitcoin and altcoins has followed predictable patterns. When Bitcoin rises, altcoins usually follow suit, creating a market-wide rally. If altcoins are outperforming Bitcoin, it’s a signal to increase your position, but if Bitcoin is leading the charge, caution is key. Conversely, when Bitcoin falls, altcoins typically drop even harder, signaling the need to shift into stablecoins or blue-chip tokens for protection. If you're considering shorting, this is the time, but long-term trend traders may want to wait for a reversal. There are rare moments when Bitcoin’s decline doesn’t drag altcoins down, and if Bitcoin is fluctuating without a significant drop, it can signal a short-term altcoin season. This presents an opportunity for those willing to take on more risk. However, the current situation is different—Bitcoin and altcoins have completely decoupled, with this divergence lasting far longer and going deeper than historical trends suggest. Adding to the uncertainty is the approval of the Bitcoin spot ETF, which is reshaping how investors allocate their funds in the crypto space. Just yesterday, MSTR became a major topic in the US stock market, solidifying the concerns that the landscape is indeed changing. The growing skepticism about an altcoin season is becoming increasingly difficult to ignore.
