Amidst the ongoing consolidation in the crypto market, an analyst with X pseudonym cryptododo7 has observed certain developments with the Bitcoin dominance that could spell significant implications.
Bitcoin Dominance Climbs Higher As Altcoins Prepare For Takeoff
In a recent X post on March 21, cryptododo7 shared a technical analysis on the Bitcoin Dominance chart hinting at a possible altseason. The crypto analyst noted that Bitcoin Dominance may be poised for a sustained uptrend following a breakout and successful retest of a bullish pennant formation at the 61.25% level.
Generally, the bullish pennant forms after a strong upward price movement as seen in early 2025 in the chart below. This price surge (known as the flagpole) is followed by a consolidation phase in which price movements make higher lows and lower highs thereby forming a symmetrical triangle i.e. the pennant.
With a successful breakout and retest of the bullish pennant, Bitcoin Dominance has confirmed expectations of a major surge, with Cryptododo7 predicting a potential target of 67.51%. However, the crypto analyst cautions that this rise may not signal a market-wide rally, as Bitcoin Dominance may surge alongside a decline in Bitcoin and altcoins’ price.
Albeit, the analyst further states this projected dominance top of 67.51% will potentially represent the peak of Bitcoin Dominance in this bear market, signaling a possible altseason. The altseason, which is a prominent period in the crypto market cycle, is marked by altcoins’ outperformance of Bitcoin which is confirmed by a decline in Bitcoin Dominance.
Certain analysts have previously beaten down the odds of an altseason in the current cycle citing a massive increase in altcoin numbers over the last four years. However, other analysts such as Cryptododo7 remain optimistic stating an altseason will likely follow Bitcoin Dominance’s surge to 67.51%. During this period, altcoins are expected to experience massive capital inflows potentially as high as $627 billion.
MACD Curl Hints At Possible Reversal – More Positives For The Altseason?
In other developments, X platform MoreCryptoOnline reports the Weekly MACD (Moving Average Convergence Divergence) of the total crypto market cap (excluding the top 10 coins) is beginning to curl upwards indicating a potential bullish shift in the altcoin market.
For context, the MACD is a commonly used momentum indicator that helps identify potential trend reversals. And while this signal suggests a possible shift, it remains an early-stage confirmation of the altseason.
At press time, the total crypto market capitalization stands at $2.76 trillion, with Bitcoin accounting for $1.67 trillion of this value. Meanwhile, the CoinMarketCap Altseason Index sits at 21, suggesting that an altcoin boom is not yet imminent.
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Semilore Faleti
https://www.newsbtc.com/news/bitcoin/bitcoin-dominance-to-peak-at-68-altcoin-season-incoming/
2025-03-22 20:30:15
