๐ Why altcoins fall more than Bitcoin during market fear
When markets turn red, one pattern repeats again and again ๐
Altcoins drop harder than Bitcoin.
Hereโs why:
๐น Bitcoin = first exit, last entry
During fear, investors move capital: Altcoins โ Bitcoin โ Stablecoins
๐ Historically, during fear phases:
โข Bitcoin drops less
โข Mid & low-cap altcoins can fall 2รโ4ร more
๐น Liquidity difference
Bitcoin has the highest liquidity in crypto.
Altcoins have thinner order books โ bigger price swings.
๐น Trust factor
Bitcoin is seen as:
โข Most decentralized
โข Most secure
โข Most widely adopted
So when confidence drops, capital seeks relative safety.
๐น BTC dominance signal
In corrections:
โข BTC dominance usually rises
โข Altcoin dominance shrinks
๐ Rising BTC dominance = risk-off inside crypto.
๐ This doesnโt mean altcoins are bad.
It means timing and cycles matter.
๐ง Beginner takeaway
Altcoins outperform in bull markets,
Bitcoin protects better in fear markets.
Understanding this saves portfolios.
๐ Education only | Not financial advice
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