No, people who sell Bitcoin for profit switch to fiat money, not altcoins and ICO's. The market is so volatile right now and that kind of moments are the worst for ICO's. Nobody want to lock their money to an ICO.
Not really, as you can see, a lot of btc holders are selling their btc and the price is falling from more than $11000 to $9000. I think it is not a good time to make ICO project.