Bitcoin Takes Aim At All-Time Highs: What Does It Mean For Altcoins?

Crypto trader Smiley Capital shared insights on how Bitcoin's (CRYPTO: BTC) potential expansion could impact altcoins in the coming months.

What Happened: The trader pointed out in a post on X on Friday that if Bitcoin breaks the $70,000-$74,000 range and begins its bull run, altcoins could underperform during the process. He sees the current BTC movement as upward but no longer leading or outperforming, forecasting that a surge to $120,000-$140,000 won’t benefit altcoins immediately.

He added that Bitcoin’s move into uncharted territory could pull liquidity away from altcoins, potentially leading to continued all-time highs for BTC. However, once Bitcoin’s rally stabilizes, altcoins may experience their own massive gains, or “god candles.”

Smiley believes traders should have entered altcoins months ago and this could be their last opportunity to do so.

Price Action: In the past 24 hours, BTC is trading 1.4% higher to $67,968.

Also Read: Bitcoin Is A $100 Trillion Idea That Belongs In Every Portfolio, Corporate Balance Sheet And Retirement Account, Analyst Says

Why It Matters: Smiley Capital anticipates this market dynamic could persist for weeks or even months until Bitcoin completes its initial upward move. He expects a 20-30% correction in BTC afterward, leading to a rotation into Ethereum (CRYPTO: ETH) and eventually the rest of the market.

He warns that most traders should avoid rotating into altcoins unless they are very experienced, advising them to hold through volatility until they see major parabolic moves.

For those trading this cycle, he suggests rotating from BTC and Solana (CRYPTO: SOL) into ETH, followed by tech coins, meme coins, and finally older, established “dino coins.”

What’s Next: The influence of Bitcoin as an institutional asset class is expected to be thoroughly explored at Benzinga’s upcoming Future of Digital Assets event on Nov. 19.

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