Bitcoin Holds Crypto Steady in a Turbulent First Half of 2025 as Altcoins Struggle

The crypto market remained largely flat in the first half of 2025, masking significant turmoil beneath the surface. While bitcoin managed to prop up overall market performance, major altcoins like Ethereum’s ETH and Solana’s SOL, along with smaller-cap tokens, suffered steep declines.

Despite the noise around tariffs, recession fears, geopolitical tensions, and speculation over crypto-friendly policies under Donald Trump’s return to the White House, the total market capitalization of cryptocurrencies crept up just 3% over the past six months, reaching $3.27 trillion, according to data from TradingView.

Beneath the modest headline number, market performance was sharply divided.

Bitcoin (BTC) rose 13% in the first half of the year, continuing to outperform the broader market and serve as a stabilizing force. In contrast, Ethereum’s ether (ETH) fell 25%, while Solana (SOL) lost nearly 17%.

Smaller and riskier digital assets were hit even harder. The TradingView OTHERS index, which tracks cryptocurrencies outside the top ten by market cap, plunged 30%, underscoring the risk-off sentiment affecting the altcoin sector.

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What’s Next for Crypto?

Despite the sluggish start to 2025, some analysts remain optimistic about the months ahead. Joel Kruger, market strategist at LMAX Group, highlighted that July has historically been a strong month for crypto, delivering average returns of 7.56% 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 pointed out that corporate treasury strategies are gradually expanding beyond bitcoin, with more companies revealing plans to accumulate other digital assets like ETH.

Analysts at Coinbase echoed the upbeat sentiment, predicting a more favorable environment for crypto in the second half of the year. They cite potential Federal Reserve rate cuts, a supportive macroeconomic backdrop, and increasing regulatory clarity in the U.S., as lawmakers push forward legislation covering stablecoins and crypto market structure.

However, not everyone is convinced the rally will resume immediately. Analysts at Bitfinex offered a cautious outlook, warning that the quarter starting in July has historically been the weakest for bitcoin, averaging gains of only 6% since 2013.

“This is also where average volatility is subdued, adding to our bias of range-bound price action continuing for longer,” Bitfinex analysts noted in a Monday report.

With mixed signals heading into the second half of the year, crypto investors remain on edge—watching whether bitcoin can keep shouldering the market or whether a broader recovery might finally take hold.