Could 60% be the top for Bitcoin (BTC) Dominance?
Bitcoin Dominance (BTC.D) has been inexorably clawing its way higher since early September 2022, at which point it had reached its bottom at just under 39%. Currently at 59%, it may be that Bitcoin is soon to start ceding its dominance to the altcoins.
Bitcoin still the frontrunner
Bitcoin (BTC) has been leading the altcoins (except for a few notable exceptions) throughout most of this current bull market. Every time an altcoin season might have transpired, the king of the cryptocurrencies just increased its dominance once again.
Currently above its bull flag, Bitcoin is still the frontrunner that is likely to spark the next stage of the bull market. That said, outperforming altcoins such as Solana (SOL) may have a say in this.
Could 60% be the top?
Source: TradingView
Looking at the short-term chart for Bitcoin Dominance (BTC.D) it can be observed that the price is still climbing, but within an ascending wedge pattern. If the price continues to remain inside the wedge, it could tap the 60% resistance before either breaking through, or reversing.
Total3 ready to break out
Source: TradingView
The Total3 chart tracks the price of the combined market cap of all cryptocurrencies, with the exception of $BTC and $ETH. This chart probably has a say in how Bitcoin Dominance plays out, given that a breakout above the $637 billion resistance could presage the start of an altcoin surge that could eat into Bitcoin Dominance.
Altcoins can provide more upside
Of course, this bull market cycle could be different, and with the sheer amount of institutional buying into the Spot Bitcoin ETFs, Bitcoin could just carry on its domination all the way through the bull run. Nevertheless, the counter argument is that as those funds flow into Bitcoin, investors are bound to see the much smaller market caps of the altcoins as huge potential for much bigger gains than $BTC.
Whichever way it goes, this bull market is just starting to heat up, with some potentially explosive price action to come for both Bitcoin and the altcoins into the end of this year and a good portion of the next.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
Read more: https://cryptodaily.co.uk/2024/10/could-60-be-the-top-for-bitcoin-btc-dominance
Text source: Crypto Daily™
