Bitcoin Returns to $83,000, Why Are Ethereum, Solana, and XRP Underperforming?

Bitcoin continues to outperform altcoins such as Ethereum, Solana, and XRP, which have fallen between 2% and 5% over the past 24 hours.

Only 11 of the 66 large-cap altcoins posted weekly gains, while Bitcoin's market dominance has climbed to near 59.5%.

On the other hand, U.S. spot Bitcoin ETFs recorded $679 million in weekly outflows, the largest since late June, while Ethereum ETFs saw $542 million in outflows.

Why Is Bitcoin Dominance Rising While Altcoins Struggle

Prominent crypto analyst Benjamin Cowen has warned that Bitcoin's market dominance could continue to climb as monetary policy shifts toward a more restrictive stance. It may eventually retest its 2025 highs before declining.

Unlike the previous cycle, he does not expect BTC.D to rise indefinitely.

Cowen noted that higher interest rates and a stronger U.S. dollar are major headwinds for altcoins, suggesting that capital may increasingly favor Bitcoin.

He believes that eventual rate cuts and a weaker dollar could trigger renewed strength in altcoin-to-Bitcoin trading pairs, potentially pushing BTC.D toward the low 50% range or even the high 40% range.

Cowen expects altcoins to continue losing ground relative to Bitcoin until monetary conditions become more accommodative.

Can Support Levels Hold Before the Next Rally?

Closely watched analyst Kevin has warned that Bitcoin faces a deeper pullback ahead of the CPI data release, with $77,000 to $83,000 serving as key support.

Holding this range could trigger a rebound toward $93,000 to $100,000, while a break below risks a decline to $67,000 to $76,000.

He leans toward a pullback that establishes a bullish higher low before a more sustainable rally in late 2026 or 2027, while altcoins could face more significant declines.

What Happens Next?

Wintermute's October 13 report highlighted two catalysts needed for a sustainable crypto recovery:

A break above 5.64% in 30-year Treasury yields or Bitcoin repeatedly failing to hold $82,500 would reinforce the bearish outlook.

Wednesday's CPI report could reveal whether rising energy costs are driving broader inflation, potentially strengthening expectations for further Fed rate hikes.

The research firm remains constructive on Bitcoin's long-term outlook but warns against chasing altcoin rallies until liquidity conditions improve.