The rebellion of currencies against Bitcoin - Quick and focused notes
Markets are currently experiencing a strong wave of liquidity flowing towards many alternative currencies while Bitcoin is in a continuous correction phase for about two months.
What is happening now
- Concentrated liquidity on a number of alternative currencies, which sometimes raises their value by 50–100% within hours or days.
- We have not seen such exceptional increases since December 2024.
- Coins that do not attract liquidity decline or remain marginal as capital is rapidly redistributed.
Why is this happening$BTC #BTC
Positive news or partnerships or protocol support shorten trust distances and accelerate liquidity entry.
- Movements of "smart money" and whales to reposition their wallets before a major event or announcement.
- Liquidity fragmentation during Bitcoin corrections pushes traders to seek higher returns in altcoins.
Indicators to watch
- Increase in daily trading volume against a decrease or stability in Bitcoin's price.
- Sudden jumps in liquidity on specific exchanges or in certain tokens.
- News of partnerships, network updates, or new listings coincide with the increases.
Practical monitoring tactics
- Monitor the difference between liquidity flows to altcoins and Bitcoin and use it as a signal for market cycles.
- Follow the news of major protocols and the timing of updates or technical events.
- Set strict entry and exit rules as these increases may be short-lived and accompanied by sharp corrections.
Brief summary
The market is temporarily reallocating capital away from Bitcoin, and opportunities exist in altcoins charged with news or receiving concentrated liquidity. Proceed with caution, focus on volume signals and news, and manage risks as volatility is high and trends can change rapidly.