Bitcoin remains stalled near $70,000 as on-chain stress signals a historically frustrating market phase, with long-term holders beginning to realize losses. Meanwhile, the altcoin market is showing signs of renewed momentum, led by strategic developments for Ripple’s XRP, which has seen significant ETF inflows. Capital appears to be moving selectively rather than broadly across the crypto sector.
The altcoin market is regaining a strong setup amid broader economic tension. The U.S. Navy reportedly considers the risk at the Strait of Hormuz “too high,” keeping oil markets on edge.
For Bitcoin, supply in loss is approaching 40-50%, a zone analysts at CryptoQuant call the most frustrating phase of the cycle. Data shows long-term holders are starting to realize losses, reinforcing a strategic shift where some traders are shorting BTC and going long on oil.
Bitcoin is now stuck in a classic sideways range around $70,000. Historically, such conditions see capital flow into altcoins as traders seek quicker gains.
However, the Altcoin Season Index shows no rotation yet, and Ethereum dominance struggles below 11% resistance. This raises the question of whether the broader market is turning bearish or if other altcoins will absorb the flow.
Ripple is gaining momentum as XRP is set to acquire BC Payments Australia to secure a financial services license. On-chain data revealed XRP withdrawals on Binance spiked multiple times recently, including over 14,000 transactions.
The altcoin market cap excluding Bitcoin and Ethereum, or TOTAL3, has gained about 11% since early February. It gained 3% intraday, signaling solid momentum while Bitcoin is down 15% over the same period.
Notably, XRP has seen $1.4 billion flow into its ETF, signaling selective capital movement. If this trend holds, XRP might be poised to lead the next altcoin rally.
