Bitcoin Dominance (BTC.D) OutlookKey Support Holding Strong
Over the past six weeks, the 60% level on the BTC.D chart has acted as strong support, preventing further downside.
Bitcoin dominance now appears to be climbing, with a potential move toward the 66%-72% resistance zone in the coming weeks.
Potential Market Implications
A rise in BTC.D typically signals weakness in the altcoin market, as capital shifts away from riskier assets into Bitcoin.
If BTC.D reaches and rejects the 66%-72% resistance, it could trigger an altcoin recovery, similar to what happened in January 2021, when a rejection in this zone led to a massive altcoin rally.
Key Levels to Watch
Support: 60% (holding for 6 weeks)
Resistance: 66%-72% (historical rejection zone)
A break above 72% could suggest continued Bitcoin dominance, delaying any significant altcoin resurgence.
Conversely, a rejection at 66%-72% could mark the beginning of an altcoin season, as liquidity rotates back into alternative assets.
Conclusion
Short-term: BTC.D appears bullish, with altcoins under pressure as dominance climbs.
Mid-to-long term: The 66%-72% resistance zone will be pivotal—a rejection could reignite the altcoin market, while a breakout would strengthen Bitcoin’s dominance even further.
