- Bitcoin ETFs attracted inflows of more than $1.76B in the first week of the new administration.
- Holders with more than 1 BTC continue to buy as altcoins see decline, despite Trump’s admin hype.
The influx of funds into Bitcoin [BTC] ETFs during the first week of President Trump’s second term.
Investor sentiment towards BTC was strong, with inflows of $1.76 billion, which propelled Bitcoin past $109,000. BlackRock’s Bitcoin ETF alone saw a daily inflow of $155.7 million in the last 24 hours as at press time.
In contrast, Ethereum ETFs garnered a considerably smaller amount of $139.4 million, indicating a comparative lack of momentum, as ETH prices remain 27% below their all-time high according to SpotOnChain.
This disparity suggested that Bitcoin might be seen as a safer or more promising investment relative to Ethereum under current market conditions.
Source: Spot On Chain
This trend could potentially establish BTC as the standout asset, especially if similar patterns continue, overshadowing altcoins like Ethereum, which are experiencing stagnant or less dynamic growth.
Holders buying amid potential 2017 cycle repetition
Comparing retail investors with less than 1 BTC to those holding more signified a transfer to long-term holders.
This shift is crucial as it suggested a consolidation of Bitcoin in hands more likely to hold during volatility, potentially stabilizing the price over time.
As small-scale holders sell and larger investors accumulate, Bitcoin could become less susceptible to erratic price swings caused by mass sell-offs.
In the short term, this might cause fluctuations; however, in the long term, it reinforces Bitcoin’s position as a resilient asset in the crypto market.
Additionally, Bitcoin’s current trajectory closely mirrors the 2017 cycle, suggesting a bullish outlook similar to when it peaked at $19,783 in March 2018.
This potential cycle repetition indicates that BTC might be on the verge of a significant rally.
Source: CryptoQuant
Historically, Bitcoin’s upswings often precipitated broader market uptrends, which could mean widespread gains if this cycle continues as predicted.
Bitcoin’s resilience often allows it to outperform other assets during bullish phases in the crypto market.
Will BTC continue outperforming altcoins?
Finally, as the broader market sees a decline, BTC has continued to show strength, trading above $100K. As of press time, BTC dominance showed a bearish Stoch RSI cross, suggesting potential downtrend.
This hinted at a cycle top around 62%, with minor upticks quickly retracted, which could pave the way for altcoins to thrive, potentially initiating an altseason. However, this might not occur as predicted, as it could be delayed.
Conversely, the altcoin market cap showed consolidation just below its all-time highs, with no significant breakouts seen yet.
This suggested a period of indecision, characterized by choppy price action within a defined range. This behavior indicated that performance may vary significantly among different altcoins and sectors.
Read Bitcoin’s [BTC] Price Prediction 2025–2026
BTC’s dominance may not be strong now, but that could change if altcoins keep showing mixed results and fail to break their ranges.
This performance gap might boost BTC’s appeal, as other assets may not maintain growth, thus reinforcing its market status.
