Bitcoin News Today: Bitcoin Stabilizes Amid 42% Altcoin Market Surge, 61% Dominance Slips 7%

Bitcoin (BTC USD) has demonstrated resilience amid surging altcoin market enthusiasm, maintaining key support levels as capital shifts toward alternative cryptocurrencies. The altcoin market cap (TOTAL2) approached $1.48 trillion, reflecting a 42% gain over the past month, while Ethereum (ETH) and other tokens like XRP, BNB, and Solana (SOL) posted double-digit returns. Despite this, Bitcoin’s dominance remained at 61%, down nearly 7% from a month prior, indicating a temporary redistribution of capital into smaller altcoins [1].

A significant test for Bitcoin emerged when an early investor liquidated 80,000 BTC—valued at over $9 billion—within a week, triggering a 3% price drop before a swift rebound to $118,000. Analysts attribute Bitcoin’s stability to institutional demand, with spot Bitcoin ETFs recording a $356 million inflow on July 24–25, reversing prior outflows. Meanwhile, Ethereum ETFs, including BlackRock’s ETHA, attracted $440 million in purchases, underscoring institutional uncertainty about altseason dynamics [2].

Technical indicators highlight Bitcoin’s precarious position. Bollinger Bands have tightened, signaling low volatility after the Q2 rally, while the $116,000 level acts as a critical support. A break above this threshold could pave the price toward a new all-time high, but a decline below $112,000 might reignite bearish momentum. Analyst Michael van de Poppe noted that holding above $116,800 could "pave the way for fresh highs in the coming week," though this remains speculative [3].

Institutional ownership of Bitcoin now exceeds 10% of total supply, with over 2.5 million BTC controlled by public companies, ETFs, and trusts. This level of accumulation, absent in previous cycles, suggests sustained long-term demand. Retail investors, however, remain split. Reddit discussions reveal a trend of selling smaller altcoins (e.g., SOL, SUI) to rotate into Ethereum or Tether (USDT), aligning with altseason narratives. Despite sideways price action, Bitcoin continues to attract buyers as a hedge against macroeconomic risks, with Senator Cynthia Lummis emphasizing its role in reducing transaction costs and combating inflation [4].

Market sentiment hinges on the interplay between ETH’s stability and Bitcoin’s technical resilience. While Ethereum’s futures volume surged 200% year-over-year in Q2 2025, signaling heightened interest, Bitcoin’s ability to repel large sell-offs and altcoin selloffs underscores its foundational role. Investors remain cautious, with bearish indicators like the Ichimoku cloud suggesting ongoing volatility. However, steady ETF inflows and strategic buying by institutions indicate that the current consolidation phase could precede a breakout, pending macroeconomic clarity and regulatory developments [5].

Sources:

[1] [Bitcoin (BTC) Holds Support Despite Altseason Euphoria, What’s Next?](https://coinmarketcap.com/community/articles/6885be033c8fb03af0623a7c/)

[2] [Bitcoin (BTC) - Price Turnaround Incoming? Ethereum (ETH)](https://u.today/bitcoin-btc-400-surge-there-xrp-price-turnaround-incoming-ethereum-eth-dominance-ensured)

[3] [Fundamental Analysis — Trading Ideas on TradingView](https://www.tradingview.com/ideas/fundamental/)

[4] [I Sold 70% of My SOL & SUI](https://www.reddit.com/r/WallStreetBetsCrypto/comments/1m92bmc/i_sold_70_of_my_sol_sui/)

[5] [BTC Market Enters Distribution Zone Again](https://www.facebook.com/groups/250968057873111/posts/783825617920683/)