Bitcoin Dominance Plummets as Altcoins Begin Surging
Bitcoin and the aggregated crypto markets have incurred some notable upwards momentum today, which is particularly clear while looking towards the price action of most major altcoins, as XRP, Bitcoin Cash, EOS, and others have posted massive gains today.
The gains across most major altcoins comes as Bitcoin’s dominance begins to show significant signs of weakening, which could mean that the altcoins markets are currently on the precipice of a massive market-wide rally.
Bitcoin Dominance Drops as Altcoins Incur Explosive Rallies
At the time of writing, Bitcoin is trading up nearly 3% at its current price of $8,280, which marks a notable jump from its daily lows of $7,800 that were set yesterday.
Bitcoin has continued to find strong support within the upper-$7,000, which could point to the possibility that this is a long-term support level that may ultimately allow it to climb significantly higher.
Currently, Bitcoin’s dominance over the aggregated crypto markets is sitting at 66.7%, which marks a notable drop from its monthly highs of over 70%.
It does appear that funding is currently flowing away from Bitcoin and towards most major altcoins, as the lack of fresh capital within the markets makes it a zero-sum game, with stale funding being redistributed between cryptos.
In the near-term, analysts are noting that it is probable that Bitcoin continues to drop lower, which may mean that altcoins will continue incurring significantly further funding that could propel them higher in the near-term.
NebraskanGooner, a popular crypto analyst on Twitter, explained in a recent tweet that some major altcoins may continue to uptrend against their BTC trading pairs as Bitcoin’s dominance drops.
“#bitcoin dominance update: notes in chart. Topped out just below my target zone and looks bearish. The majors look weak but some alts look like they want to uptrend against BTC. We may see a small shift but I expect one bounce on dominance before the real party starts,” he explained in a tweet from yesterday.
This dominance drop has allowed major altcoins to surge today, with XRP trading up nearly 8% at its current price of $0.275, Ethereum surging 5% to over $180, and Bitcoin Cash jumping 7% to its current price of $238.
Disclaimer: This article is not meant to give financial advice. Any additional opinion herein is purely the author’s and does not represent the opinion of EWN or any of its other writers. Please carry out your own research before investing in any of the numerous cryptocurrencies available. Thank you.