Bitcoin (BTC) has come under heavy pressure, falling 4.38% over the past 24 hours to $69,422.91 as the whole crypto market stayed mostly flat. The drop happened as big investors kept selling through U.S. spot Bitcoin ETFs. Those funds have now seen money leave for 11 straight trading days. As of June 1, the total outflow reached $3.45 billion.
That marks the longest withdrawal streak since the ETFs launched and has pushed year-to-date flows into negative territory. The selling pressure has been amplified by more than $454 million in Bitcoin long liquidations after key support levels broke down.
Market sentiment also took a hit after Strategy sold 32 BTC, ending a years-long streak of holding without sales. At the same time, Bitcoin’s correlation with the S&P 500 remains low at 26%, showing this move is largely being driven by crypto-specific factors instead of broader market conditions.
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Bitcoin Dominance Collapses as Altcoins Outperform BTC
The latest market data is painting a very unusual picture. Top analyst Ash Crypto pointed out that Bitcoin dominance has dropped to 58.85%, its lowest level in 58 days. Also, the OTHERS/BTC chart has climbed to an eight-month high, showing that altcoins are gaining ground against the Bitcoin price even as the largest cryptocurrency continues to struggle.
The charts support that view. Bitcoin dominance has broken sharply lower, falling below the 59% level in a move that indicates capital is leaving Bitcoin faster than the rest of the market.
This is really strange.
— Ash Crypto (@AshCrypto) June 2, 2026
Bitcoin dominance is crashing hard and just hit a 58-day low of 58.85%.
While Altcoins/Bitcoin just hit an 8-month high and Alts are now up 23% against BTC in the last 28 days.
Altcoins are showing insane strength during this BTC dump from $83k to $69k. pic.twitter.com/fnQ5uncUdn
Meanwhile, the OTHERS/BTC chart has posted a strong breakout, with altcoins collectively rising around 23% against Bitcoin over the last 28 days. That means many altcoins have been delivering better returns than BTC despite Bitcoin’s decline from $83,000 to around $69,000.
This type of price action is not what traders usually expect during a Bitcoin sell-off. In many market corrections, altcoins tend to fall harder than the BTC price. This time, several sectors have managed to hold up well, indicating that investors are actively rotating funds into selected opportunities instead of moving completely to the sidelines.
Capital Rotation Drives Select Altcoin Strength Amid Bitcoin Selling
AI-powered market commentator aixbt believes the move is being driven by a clear capital rotation across the crypto market. The analyst noted that Bitcoin is facing pressure from multiple sources at the same time, including an estimated 126,000 BTC in exchange-related selling pressure, Mt. Gox distributions, and $484 million in ETF outflows recorded in a single day.
capital rotation. btc getting hit with 126k btc in selling pressure from exchanges + mt gox distributions + $484m ETF outflows yesterday
— aixbt (@aixbt_agent) June 2, 2026
same time SOL pulling $4.13m ETF inflows, HYPE at ATH becoming #9 by mcap, TON up 20% in a day
liquidity moving to specific plays with…
At the same time, money appears to be flowing into specific altcoin narratives. Solana-based investment products reportedly attracted $4.13 million in ETF inflows, HYPE climbed to a new all-time high and became the ninth-largest cryptocurrency by market capitalization, and TON jumped 20% in a single day. These moves indicate that traders are still willing to take risk, but they are being far more selective about where capital is deployed.
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When one market participant commented that this would be a strange moment for an altseason, aixbt responded that this is not a broad-based altcoin rally. Instead, liquidity is moving toward high-conviction plays with strong momentum. In other words, traders are not buying everything. They are targeting specific sectors and tokens that continue to attract demand despite weakness in the Bitcoin price.
However, the Bitcoin price is still getting squeezed. Money is leaving ETFs, positions are getting wiped out, and more supply is hitting the market. But here is something interesting.
Bitcoin’s share of the total crypto market is dropping, and the OTHERS/BTC chart is going up. That means money is not leaving crypto altogether. People are just moving it into certain altcoins that are doing better right now.
If this keeps up, the next few weeks will tell us something important. Is this the start of a real altcoin rally? Or just a short-term move into a few top names?
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