Bitcoin's price is holding strong above $113,800, but recent market data points to a potential shift in momentum that could favor altcoins. Both on-chain analysis and technical indicators show signs of growing pressure on Bitcoin dominance, with a notable decline in holdings by large investors.
According to a CryptoQuant analysis, Bitcoin whales—wallets holding between 1,000 and 10,000 BTC—have been aggressively selling off their assets in one of the most significant sell-offs of 2025. This historical early warning signal suggests a potential for near-term downside risks for Bitcoin.
Additionally, technical charts show that Bitcoin’s market dominance is forming bearish continuation patterns, such as a bear flag and a bear pennant. These formations suggest that capital may soon rotate from Bitcoin into altcoins, a move that could kick off an "altseason."
Despite these bearish signals for market dominance, Bitcoin's spot price has remained resilient. The Relative Strength Index (RSI) and MACD on the 2-hour chart both indicate a bullish momentum, suggesting that short-term price stability may continue.
The article concludes that traders are facing conflicting signals. While Bitcoin’s price remains steady, the combination of whale selling and bearish dominance patterns could lead to strong inflows into altcoins. The outcome of this dynamic, along with the Federal Reserve's upcoming rate decision, will likely determine whether the market sees a new altcoin cycle or if Bitcoin continues its upward trend after a brief pause.
September 2025, Cryptoniteuae