Altcoin Rally Imminent? Bitcoin Dominance Nears Top as Analyst Warns: ‘Don’t Blink’

With Bitcoin's dominance reaching multi-year highs and its price approaching $68k, the crypto market is at a pivotal juncture. Analysts Ash Crypto and EGRAG Crypto predict this could lead to a shift in market tendencies.

Altcoins may soon outperform Bitcoin while Bitcoin continues to rise, they hypothesize.

Bitcoin Dominance Nears Peak

Alongside Bitcoin's price increase to $68k, BTC dominance, which measures its market share relative to other crypto tokens, has surged to a 42-month high.

According to Ash Crypto, if Bitcoin rallies towards $80k to $90k in the coming month, BTC dominance could rise further to 61%.

EGRAG CRYPTO agrees, stating that Bitcoin dominance is approaching "the final stage of a topping formation." This sets the stage, according to EGRAG, for a unique market scenario where Bitcoin's price may continue to rise while its market dominance wanes.

Altcoin Season on the Horizon

Both analysts foresee a shift in market dynamics favoring altcoins. EGRAG CRYPTO emphasizes that when Bitcoin dominance falls while its price surges, it creates an ideal environment for altcoin growth.

Ash Crypto draws parallels to the previous market cycle, noting that after Bitcoin broke its ATH of $19,500 on December 16, 2020, Bitcoin dominance peaked 18 days later on January 3, 2021, followed by five months of exceptional altcoin performance.

Timing and Strategy for Investors

The analysts differ on market timing. EGRAG CRYPTO suggests the altcoin rally could begin soon, urging investors not to "blink" and miss the opportunity.

Ash Crypto suggests a more measured timeline, advising investors to hold their altcoins for the next six months in anticipation of the coming "ALTSEASON." He notes that Bitcoin may outperform altcoins for a few weeks as it approaches new all-time highs, with altcoins expected to start outperforming once Bitcoin establishes a clear uptrend beyond its previous record.