Bitcoin Updates: Gold's Downturn Sparks Shift to Altcoins While Bitcoin Remains Stuck in Crucial Range
- Ethereum forms bullish "triple bottom" pattern near $3,800, signaling potential breakout above $4,000 as large holders accumulate. - Bitcoin stalls in $107k–$111.5k range amid gold's 6.3% single-day crash, triggering capital rotation into crypto risk assets. - Altcoin Season Index at 24 favors Bitcoin despite $1.46T market cap threshold seen as critical for broader crypto breakout. - Digitap ($TAP) emerges as rotation beneficiary with hybrid crypto/fiat infrastructure as market fear/greed index hits 29-y
Altcoin Surge Anticipated as Ethereum Breaks Resistance, Signaling Major Capital Shift from Equities and Gold
The crypto sector appears to be on the verge of a significant transition, with
Bitcoin, which has found it challenging to build on its “Uptober” momentum, was trading around $111,300 at the time of writing, fluctuating between $107,000 and $111,500. The leading digital asset has slipped 2.3% since the start of the month, sparking worries about a rare negative October during a bull market. CoinGlass historical trends show that Bitcoin typically climbs about 20% in October during robust years, aiming for $130,000. Nevertheless, U.S. spot Bitcoin ETFs experienced renewed inflows on October 21, with BlackRock’s iShares Bitcoin Trust (IBIT) at the forefront, recording $210.9 million in net investments, as detailed in a
Ethereum has also come into focus as a potential breakout asset. The second-largest crypto was valued at $3,957 after a 6.5% decline since the month began, but on-chain metrics reveal a “triple bottom” pattern near $3,750–$3,800, indicating robust support, according to a
This movement into crypto comes after a steep drop in gold, which plunged 6.3% in a single session—the largest fall since April 2013. Experts attribute the gold sell-off to profit-taking after a historic rally, with funds now moving into Bitcoin and alternative cryptocurrencies. “Bitcoin is just the initial destination following a significant gold sell-off,” one analyst commented, pointing out that Bitcoin’s market share has fallen from nearly 60%, suggesting a pivot toward smaller digital assets, as reported by a
Still, the much-anticipated “altcoin season” has not yet arrived. While Bitcoin ETFs drew $20.33 million in new funds on October 23, Ethereum ETFs saw $128 million withdrawn, and the Altcoin Season Index stands at 24, still favoring Bitcoin, according to a
The overall market remains wary, with the Crypto Fear and Greed Index at 29—its lowest since early 2025—reflecting increased caution amid U.S.-China tensions and global uncertainties, as noted by CryptoNews. Nevertheless, technical signals and blockchain activity point to an impending change. “Liquidity rotation has begun,” said crypto influencer Mister Crypto, forecasting a “major breakout” for altcoins if the $1.46 trillion market cap threshold is surpassed, the GlobePRWire article concluded.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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