Here Is Why Bitcoin’s Drop Might Be the Start of Altseason

Bitcoin

Here Is Why Bitcoins Drop Might Be the Start of Altseason

Bitcoin has pulled back from its recent highs, slipping to the $115,000 range as massive wallet movements spark renewed volatility.

A combination of large-scale sell-offs and reawakened dormant wallets has injected fresh unease into the market.

At the center of the sell pressure is Galaxy Digital, which has reportedly moved over 12,800 BTC—worth around $1.5 billion—to exchanges over a 24-hour period. One notable transfer included 2,850 BTC, triggering fears of broader liquidation. These funds appear to originate from a single whale wallet that once held more than 80,000 BTC, now seemingly in the process of being offloaded.

Adding fuel to the fire, long-dormant Bitcoin addresses have begun to stir. One wallet, untouched since 2011, just moved nearly 4,000 BTC. Another batch of wallets, holding over 10,600 BTC acquired in 2020, became active this week, raising speculation that early adopters may be gearing up to cash out after years on the sidelines.

Despite the turbulence, some traders suggest the worst of the sell-off may be over. But caution remains, especially with Bitcoin dominance slipping from 64% to around 61%, a sign that capital could be rotating toward altcoins.

The Altcoin Season Index has also climbed, hinting at a shift in momentum, though not enough to declare a full-on altseason just yet. Still, with old coins moving and new money reshuffling, the markets next chapter may come sooner than expected.