I have a 14 month old olive egger rooster (definite rooster, with comb, spurs, hackles, tail sickles, and lovely crow) who also does this "squatting" behavior. He's housed with a brahma rooster who he was raised with, who although is obviously in charge, gets along fine with him. They never fight, and the olive egger doesn't display for him, only for humans, and usually when we are holding the brahma.
It's worth noting that when they were young and first starting to mount our hens, the brahma mounted the olive egger roo a few times. Not sure if this instilled the behavior in him, even though the brahma hasn't mounted him since.
I have 2 more roosters who were also never squat, only the olive egger. So... I guess know that your roo isn't alone, but maybe is a bottom?
