Sustained Selling Pressure in Crypto Markets: Implications for Strategic Entry Points

The crypto market in October 2025 is navigating a complex interplay of sustained selling pressure and emerging accumulation trends, creating fertile ground for contrarian investors. While macroeconomic uncertainties and regulatory headwinds persist, on-chain data and market dynamics reveal strategic entry points in Bitcoin and select altcoins. This analysis dissects the current landscape, emphasizing how contrarian positioning can capitalize on short-term volatility while aligning with long-term bullish fundamentals.

Bitcoin: A Post-Halving Supply Squeeze and Whale Accumulation

Bitcoin's on-chain metrics paint a picture of tightening supply and growing institutional conviction. As of October 2025, 74% of Bitcoin's circulating supply remains illiquid, with 75% unmoved for over six months, as reported in a Medium analysis. This "supply squeeze" reflects a shift from speculative trading to long-term holding, a pattern historically correlated with price surges. Large holders, or "whales," have accelerated their accumulation, with exchange outflows surging 347% in late September 2025, according to Albion Crypto. Such behavior reduces near-term selling pressure and signals confidence in Bitcoin's value proposition as both a store of value and a transactional asset.

Technical indicators further reinforce this narrative. The Network Value to Transactions (NVT) ratio has crossed into a "golden cross" at 1.51, suggesting undervaluation relative to usage, the Medium analysis shows. Meanwhile, the MVRV Z-Score and Pi Cycle Oscillator indicate Bitcoin is in a consolidation phase ahead of a potential breakout, according to Bitcoin Magazine. Analysts project a critical price threshold at $116,000; a breach could trigger a rally toward $160,000–$200,000, driven by ETF inflows and macroeconomic tailwinds like a weaker U.S. dollar, according to Crypto Economy. For contrarian investors, dips below $107,000-should they materialize-could represent tactical entry points, particularly if institutional adoption continues to outpace regulatory risks.

Altcoins: Diversification Amid Selective Outperformance

Bitcoin's declining dominance-from 65% to 57.2% in 2025-has catalyzed a rotation into altcoins, though performance remains uneven, according to a TalkMarkets article. Ethereum (ETH) leads the charge, with a 12% price increase driven by post-merge upgrades and institutional staking demand, Albion Crypto reports. Its total value locked (TVL) has surged to 35.8 million ETH, reflecting robust utility in decentralized finance (DeFi) and tokenized assets, per the TalkMarkets analysis. Similarly, Ripple's XRP has surged 30% due to regulatory clarity and inclusion in the U.S. strategic crypto reserve, Albion Crypto notes, positioning it as a high-conviction play in cross-border payments.

However, not all altcoins have fared equally. Binance Coin (BNB), Cardano (ADA), and Tron (TRX) face headwinds from market corrections and heightened competition, Albion Crypto observes. For contrarian investors, this divergence highlights opportunities in undervalued projects with strong fundamentals. Solana (SOL), for instance, has shown resilience in on-chain activity, with normalized spot liquidity averaging $19 million per side in September, according to the TalkMarkets piece. Projects aligned with emerging narratives-such as tokenized real-world assets or institutional-grade DeFi-could outperform as capital reallocates toward innovation.

Strategic Entry Points: Balancing Risk and Reward

The current market environment demands a nuanced approach. While Bitcoin's on-chain metrics and technical indicators suggest a favorable risk-reward profile, investors must remain cautious of regulatory volatility and potential U.S. government shutdowns, as noted by Bitcoin Magazine. For altcoins, selective exposure to projects with clear utility and strong network effects is critical. Ethereum's post-merge upgrades and XRP's regulatory progress offer compelling cases, whereas overhyped tokens with weak fundamentals remain vulnerable to liquidations.

Conclusion

Sustained selling pressure in October 2025 masks a deeper narrative of accumulation and innovation. Bitcoin's post-halving dynamics and altcoin rotations present contrarian opportunities for investors willing to navigate short-term volatility. By leveraging on-chain metrics, technical analysis, and macroeconomic trends, strategic entry points can be identified in both Bitcoin and select altcoins-positioning portfolios for long-term growth amid a maturing crypto ecosystem.