Is Bitcoin the Only Winner As Crypto Fatigue Hits and Altcoins Collapse?

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The crypto market is in a strange place right now – confusing, frustrating, and a little exhausting. 

That’s the picture painted by David Sencil (@_dsencil) and Graham (@graminitha1) of Bitcoin.com on Token Narratives (Ep. 76). 

From altcoin losses to Ethereum drama, the hosts laid out why investors are feeling burnt out and why Bitcoin still stands out.

Everyone’s Confused, Even the Experts

Blockworks CEO Yano says this is “the most confused” period for crypto investors. Even top voices in the space don’t see eye to eye. Veteran investor Chris Burniske has gone bearish, keeping 39% of his funds in cash and 61% in long-term non-crypto investments, citing overvaluation. 

There are smart people, with good reasons, who lean bullish here. There are also smart people, with good reasons, who lean bearish. No doubt, it's a divided market.

You have to decide for yourself, and be able to recover or withstand the market moving against you for a period,… https://t.co/jLq2bBE79U

— Chris Burniske (@cburniske) October 20, 2025

Others, like Taiki Maida of SteadyLads and trader Peter Brandt, have also sounded cautious.

Sencil and Graham point to the old “four-year Bitcoin halving” story. It’s deeply ingrained, and it often triggers reflexive bearish behavior whenever the cycle seems over.

Altcoins Struggle, Bitcoin Shines

The top 50 altcoins are still far below their 2021 highs. Bitcoin, by contrast, has held value, creating a sense that the current rally isn’t a “real” bull market. 

Retail traders who thrived in 2021’s “buy anything” era are disappointed. Many now chase short-term trends instead of holding with conviction, which is a “lottery ticket” mindset replacing serious investing.

OGs Cashing Out

Even veteran players are stepping back. Billions of dollars in Bitcoin have been sold by early adopters, leaving new investors uneasy. 

Sencil and Graham summed it up as “OGs are getting old.” Many long-timers are cashing out or moving on, a pattern that repeats every market cycle.

All Signs Point to Bitcoin

Despite all this, the macro picture is still favorable. Global M2 money supply has hit $140 trillion, U.S. rate cuts are expected, and trillions in money market funds are earning 4%+.

Lastly, global M2 money supply is about to hit $140 trillion for the first time in history.

In just 6 months, global M2 money supply has surged +$8 TRILLION.

Investors are losing confidence in fiat.

Follow us @KobeissiLetter for real time analysis as this develops. pic.twitter.com/R9Vi6ZA9ob

— The Kobeissi Letter (@KobeissiLetter) October 22, 2025

When yields drop, this cash will flow into risk assets like Bitcoin. The experts call it a setup for the next bull run, noting that structural currency devaluation makes hard assets increasingly attractive.

Bitcoin’s role has shifted and it is now a store of value. The hosts discussed Bitcoin’s security budget, noting that solutions like tail emissions or Layer-2 fees could keep it sustainable. Bitcoin remains “technically better than gold.”

Ethereum in Turmoil

Ethereum is facing serious internal issues. Dankrad Feist left EF for Tempo, and Geth lead Peter Szilágyi resigned, criticizing low pay and centralization. Even Ethereum bulls are questioning their holdings. 

Meanwhile, generalist Layer-2s like Base, Arbitrum, and Optimism are struggling to add value. Sencil and Graham see the future in purpose-built L2s or dedicated appchains, where interoperability matters more than hierarchy.

Takeaways: Fatigue Isn’t the End

Crypto fatigue is real, but it doesn’t mean the market is dead. Fundamentals matter again, 2021’s “buy anything” era is over, and scarce assets like Bitcoin are positioned to benefit as fiat loses value. 

Sencil and Graham concluded that amid all the noise, Bitcoin remains the smart, conservative play.