Small and mid cap cryptos have been expanding market caps twice as fast as $BTC recently, flipping the script on how these cycles usually play out.
That's the setup that gets traders wrecked because they chase the outperformance then freeze when they need to sell into thin books.
This rotation into riskier assets happens when the market feels safe and people want more juice than Bitcoin offers. You watch $SOL type coins add billions in mcap while $BTC just chops around. It looks like free money until the music stops.
Those windows shut without warning. Capital snaps back to $BTC and the mid caps bleed as liquidity evaporates. A 20 percent drop on $ETH news can become a 50 percent haircut on the smaller names.
Where do you think this goes from here?
#Bitcoin #Altcoins #OnChain