Share this article
Bitcoin Carried Crypto Markets in 2025's First Half as Altcoins Crumbled. What's Next?
Crypto stayed flat in a volatile first half of the year thanks to bitcoin. Meanwhile, Ethereum's ETH, Solana's SOL and small caps endured steep losses.
Jun 30, 2025, 8:08 p.m.
Make us preferred on Google
What to know:
- The crypto market's total capitalization slightly increased by 3% in the first half of 2025, despite various global economic pressures.
- Performance was starkly uneven: BTC gained 13%, while Ethereum's ETH and Solana's SOL declined 25% and 17%, respectively.
- Analysts remain optimistic about the second half of the year, citing favorable macro backdrop, regulatory advances and crypto treasury demand.
On the surface, the crypto market barely moved in the first half of 2025.
Despite all the tantrum about tariffs, impending recession, war, and heightened expectations of crypto friendly policies and a digital asset strategic reserve with Donald Trump's return to the White House, the total market capitalization of cryptocurrencies, measured by TradingView, inched up a measly 3% to $3.27 trillion over the past six months.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
Looking closer, the performance was starkly uneven, with bitcoin holding up the rest of the market.
BTC climbed 13% in the first six months of 2025, continuing to outshine the broader market. Meanwhile, Ethereum's ether {{ETH}}, the second-largest crypto asset, tumbled 25%, and Solana {{SOL}} shed nearly 17%.
Smaller and riskier tokens endured even sharper losses: the OTHERS index on TradingView, which excludes the 10 largest assets by market cap, plunged 30%.
What's next?
Despite the modest start to the year, some analysts see room for renewed upside. Joel Kruger, market strategist at LMAX Group, noted that July has historically been a strong month for crypto, averaging 7.56% returns since 2013.
“We enter a period that has traditionally delivered stronger returns,” said Kruger. “With the second half of the year historically producing outsized gains, the broader setup remains encouraging.”
Kruger also highlighted that the crypto treasury strategy trend is increasingly expanding beyond bitcoin, with firms announcing plans to accumulate digital assets like ETH.
Coinbase analysts also maintained a positive outlook for crypto through the second half of the year, driven by favorable macroeconomic backdrop, potential rate cuts by the Federal Reserve and increasing regulatory clarity in the U.S. with lawmakers advancing legislation for stablecoins and the broader crypto market structure.
Still, the next couple months could be lackluster, Bitfinex analysts warned. The next quarter-year starting with July has been historically the weakest for bitcoin, averaging only 6% gains since 2013, they said in a Monday report.
"This is also where average volatility is subdued, adding to our bias of range bound price action continuing for longer," the authors noted.
More For You
Small investors are buying bitcoin. For a rally to succeed, the whales need to join in.
Small wallets have increased their BTC holdings by 2.5% since October's all-time high while large holders trimmed 0.8%, Santiment data shows.
What to know:
- Bitcoin wallets holding less than 0.1 BTC have increased their share of supply to the highest since mid-2024 even as the price holds around the mid-$60,000s.
- Larger holders with 10 to 10,000 bitcoins — the whales and sharks that typically drive major moves — have reduced their positions since the October peak.
- The divergence supports choppy, fragile price action because retail demand alone cannot sustain rallies when big wallets are distributing into every recovery.
Top Stories
