Bitcoin (BTC) is trading at critical levels as the entire crypto market enters a high-volatility phase fueled by renewed optimism and strong momentum

The cryptocurrency market is entering a high-volatility phase with renewed optimism and strong momentum, especially for Bitcoin (BTC). As the leading cryptocurrency consolidates at critical levels, market participants are keenly interested in whether it will break above its all-time highs or face another rejection. Both scenarios could trigger significant ripple effects across the altcoin space.
This transition phase will be defined by a key indicator: the Bitcoin Market Performance & Altcoin Spread, closely followed by top analyst Axel Adler. This proprietary metric from CryptoQuant measures relative performance and momentum across major assets like ETH and SOL compared to BTC. A reading above 50% is viewed as confirming that an altseason has begun, shifting capital flows from Bitcoin to altcoins.
According to Adler, this indicator is now at 38%, just 12 percentage points away from the decisive signal. As visualized in the chart below, green dots on the oscillator highlight historical instances where the 30-day moving average of the indicator crossed the 50% line, marking the beginning of an altseason.
If this key level is reached, it would indicate that capital is rotating out of Bitcoin and into altcoins at an overwhelming rate, setting the stage for a broader risk-on environment.
Bitcoin Price Analysis: BTC Consolidates Below Key Resistance
The weekly chart for Bitcoin shows that the price is currently consolidating just below the all-time high zone after failing to break cleanly above it. BTC reached a high of $105,706 before pulling back and closing the weekly candle around $103,850. This level marks a critical resistance area, historically significant from January’s peak, and now acting as a short-term ceiling for bullish continuation.
Despite the rejection from highs, the structure remains bullish. BTC is holding well above the psychological $100,000 level and key moving averages. The 200-week SMA sits far below at $47,375, and the 200-week EMA at $52,457, both indicating a strong long-term uptrend is intact.
Volume over recent weeks confirms rising participation, supporting the idea of growing interest as Bitcoin approaches price discovery once again. The key now is whether bulls can reclaim the $105K level on a weekly closing basis, which would open the door for a breakout toward $109K and beyond.
If the price fails to hold above $100K in the coming sessions, a deeper retrace could test lower support zones around $96K–$94K. Still, the momentum is bullish, and the weekly close above $103K keeps the rally alive.