After Record High, Bitcoin Faces Choice Between New Highs or Altseason

Bitcoin

After Record High, Bitcoin Faces Choice Between New Highs or Altseason

Bitcoin surged to $124,500 on Coinbase early Thursday, setting a new all-time high and lifting total crypto market capitalization to a record $4.26 trillion.

Now, traders are split on whether BTC will keep pushing into uncharted territory or pause to make room for a wave of altcoin gains.

Samson Mow, CEO of Jan3 and a long-time Bitcoin advocate, sees two potential scenarios. Either Bitcoins rally accelerates, drawing liquidity away from other coins and sending altcoins down sharply, or altcoin prices peak, triggering a sell-off that briefly dips BTC before its next leg higher.

He also repeated his skepticism about Ethereums market value, calling its BTC-equivalent worth “unsustainable” and due for correction.

Mow has previously described this dynamic as the “Bagholders Dilemma,” where investors in assets like ETH face stronger selling pressure the closer prices get to all-time highs.

Over the past month, ETH has surged 58% compared to Bitcoins 3.5% gain, adding to speculation that altcoins are overheating. Bitcoin dominance has dropped below 60% for the first time since January — historically a sign that altseason could be underway.

Other analysts agree altcoins may temporarily take the spotlight. Apollo Capitals Henrik Andersson expects ETH and DeFi tokens to outperform, supported by favorable regulation and growth in tokenized real-world assets.

Total value locked in DeFi has reached record highs, driving higher revenues for protocols. Nick Ruck of LVRG Research added that rising altcoin volumes alongside falling BTC dominance suggests a new phase led by Ethereum and speculative DeFi plays.

Whether Bitcoin reclaims market momentum quickly or cedes it briefly to altcoins, most observers agree the coming weeks will be pivotal for shaping the next leg of the crypto market cycle.