🔥ATTENTION🔥
📈The dominance of #Bitcoin is warning us about something important.
What could be triggered as a result of this⁉️
👉First of all, why is the dominance of $BTC important?
1- Measures market confidence:
▪️When it rises, it means that investors are betting more on Bitcoin (perceived as safer).
2- Reflects risk appetite:
▪️When it falls, it suggests that the market is moving money to altcoins, which are more volatile but can offer higher returns.
3- Serves as a compass for the market cycle:
▪️Many analysts use it to anticipate the start or end of key market phases (Bitcoin season vs Altcoin season).
👉Historically, a drop in BTC dominance usually anticipates or accompanies an altcoin season. Why⁉️ Because it indicates that:
BTC has already risen strongly and money begins to rotate towards other cryptos.
Investors are more willing to take on risk and speculate with smaller projects.
What signs do we have that the dominance of #Bitcoin could fall, thus allowing altcoin rises⁉️
👀The dominance of #Bitcoin broke below its trend line and now seems to be using it as a ceiling.
👀At the same time, the weekly MACD of BTC dominance is about to signal a drop. The last time this was seen, BTC dominance fell by 11.32% in 14 days.
📍If history repeats itself and technical analysis is correct, the dominance of #Bitcoin should fall and favor altcoins.
