Bitcoin Dominance Falls: Is Now the Time to Invest in Altcoins?
- Bitcoin dominance drops 10%, signaling a shift toward altcoins as they gain momentum and market share in the coming weeks.
- As Bitcoins dominance weakens, altcoins are surging, presenting new opportunities for investors looking to diversify.
- With BTC dominance declining, altcoins are rising rapidly, marking a shift in market focus towards alternative cryptocurrencies.
Egrag Crypto presented the Bitcoin Dominance Index demonstrating the trends and tendencies that indicate the increase of the altcoins dominance. As pointed out by the analyst in the recent X post, BTC dominance has now gone bearish on high time frame. This could be a prime time for altcoins to rise in popularity.
Bitcoin Dominance Decline
Egrag presented three possibilities for the next several weeks and all of them imply the decrease of the Bitcoins share. While there may be some volatility in the market in the short-term, for instance a brief period of increase in the event that BTC liquidity returns to the asset, he is sure that the dominance will be lost. At the moment, Bitcoins dominance has already eroded by 10% from its previous peak of 62% which shows that the landscape has changed.
The 200-week moving average, an essential gauge of market trends, is now struggling to hold on to Bitcoins dominance. Egrag notes that, even assuming that Bitcoin returns to dominance above 62% for a brief period, the longer trend is downward. This means that altcoins will keep on rising in the next few weeks and present a good chance for investors to diversify out of BTC.
The reduction in BTC dominance is already being felt across the rest of the market as altcoins bear the brunt. Others have been surging, and some of them only occur within days or weeks. The prediction is quite accurate at the moment, with many altcoins demonstrating stable growth as capital starts to be directed towards other alternative coins. As of writing, BTC is trading at $95,336, showing a 0.20% rise over the past day.
Source: TradingView
Altcoins Gain Investor Attention
With the decline of dominance of Bitcoin, it seems that altcoins are being discovered by more investors. As cryptocurrency continues to lose its market share, other cryptocurrencies are taking the chance to snap the spotlight and as well as the market share. This could signal a new era in the altcoin market since investors and market performance may starting shifting more towards the altcoins.
The analyst insights claim that even though token will continue to dominate the market, altcoins will be the new focus of investors. The trend of BTC dominance will be an area of interest for investors in the coming months as more and more investors look towards altcoins to find new investment avenues.
Read more: https://www.tronweekly.com/bitcoin-dominance-falls-is-now-the-time-to/
Text source: TronWeekly
