Is Bitcoin at Risk? Experts Warn of Divergence With Altcoins

According to Wedson, a Correlation Heatmap — a tool that measures how closely altcoins move in sync with Bitcoin — is now flashing a warning. While Bitcoin has surged upward, altcoins have largely failed to follow, raising the question: Is Bitcoin’s momentum sustainable?

What This Divergence Could Signal

There are two possible interpretations:

A short-term drop may be on the horizon if Bitcoin’s rise is being fueled by only a few large institutional players, rather than broader market participation.

Alternatively, Bitcoin could be entering a phase of independent dominance, leaving altcoins behind as it asserts itself as the primary digital asset.

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Time to Tread Carefully

Wedson emphasizes caution, especially for those entering the market near Bitcoin’s all-time high (ATH). Even if the breakout continues, the risk-to-reward ratio may not justify new positions at current levels.

For long-term investors, he advises waiting for oversold signals on key technical indicators — a strategy often more effective than chasing short-term price action.

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