Bitcoin Is Pumping, But the Fun’s Missing: What’s Going On?

Bitcoin has managed to break above an important resistance level ($109,000) on its chart for the second time this month. The first breakout happened on July 2nd, followed by a rally, a minor pullback, and now another move higher.

So far, key support zones have held firm, keeping bullish hopes alive. If Bitcoin can stay above $106,300, there’s a good chance it continues climbing.

But there’s a catch.

According to market veteran Willy Woo, the market is now in a tricky late-stage bull market zone, where the risk is high and liquidity isn’t as reliable as before. Woo points out that while the system is bigger and more stable than past cycles, it is now dealing with a more macro-driven, institutional market, and that changes the game.

Why This Cycle Feels “Flat”

In previous cycles, Bitcoin and altcoins like Ethereum, Solana, and meme tokens would shoot up together in explosive, short-lived rallies. This time, Woo explains, the market feels “a little flat”

Part of the reason is that a lot of capital and liquidity has been sucked out of the market by publicly traded treasury companies. These firms sell their Bitcoin holdings to buy shares in Bitcoin-holding companies like Strategy (former MicroStrategy) and MetaPlanet, who then buy Bitcoin for their own treasuries.

Related: Hidden Weakness? Why Bitcoin’s Low Trading Volume Is a Major Warning Sign

It’s a clunky, less efficient loop, and it’s drained some of the fun and volatility from the crypto market. As Woo put it, “That’s my explanation for why it feels a little flat this cycle.”

What About Altcoins?

When asked about whether altcoins will get their turn to run, Woo and his research team believe it will happen, just slower and more gradually.

They expect a typical rotation, where money flows from Bitcoin into bigger altcoins like Ethereum, Solana, and BNB, followed by mid-cap tokens, and finally into small-cap, high-risk altcoins towards the end of the bull run.

Related: Altcoin Bull Market Incoming: Ethereum and DeFi Severely Undervalued, Says Top Analyst

“It happens every cycle. The rotation is part of how markets behave,” Woo said. “But this time, with big institutions involved, we might have to scale down expectations a bit.” Interestingly, Woo admitted he’s not playing the altcoin game this time.