Bitcoin’s dominance is soaring, leaving many wondering if altcoins will ever have their moment in the sun. Let’s dive into what’s happening.
Bitcoin’s Dominance Reigns Supreme
Crypto analyst Daan Crypto points out that Bitcoin’s dominance is now over 64% and climbing. He believes this trend will continue as more big companies are buying up Bitcoin. This leaves altcoins struggling, with many facing significant sell-offs. Even a recent short squeeze on Ethereum quickly fizzled out, lacking the sustained buying pressure needed for a broader altcoin rally. Daan warns investors to be choosy with their altcoin investments, predicting that most will underperform Bitcoin in the long run. The lack of interest and investment capital in altcoins is preventing a true “altcoin season.” Meanwhile, Bitcoin’s rise is fueled by institutional investors embracing it, possibly through ETFs or mimicking successful strategies. Data shows we’re firmly in Bitcoin season; only ten altcoins out of the top 50 have outperformed Bitcoin in the last 90 days – far from the 75% needed for a true altcoin season.
Altcoin Season: Delayed, Not Cancelled?
Another analyst, Astronomer, offers a more optimistic outlook. While acknowledging the current Bitcoin dominance, they believe altcoin season is still on the horizon, just delayed. They argue that altcoin prices haven’t changed significantly and that this aligns with their prediction of Bitcoin ranging until the end of June, with altcoins staying within their current price ranges. For an altcoin season to truly unfold, Astronomer believes Bitcoin needs to break out while its dominance stays below 65%. They advise patience, remaining confident that altcoin season will eventually arrive.
At the time of writing, Bitcoin is trading around $107,300.
