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🚀 Altcoin Season Imminent? Analyst Warns of 37% Bitcoin Dominance Collapse

🚀 Altcoin Season Imminent? Analyst Warns of 37% Bitcoin Dominance Collapse

Author:
Newsbtc
Published:
2025-07-02 08:00:48
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Bitcoin's iron grip on crypto markets might be slipping—fast. One bold analyst predicts a brutal 37% drop in BTC dominance as altcoins prepare to rally. Is this the rotation traders have been waiting for?

Blood in the water for BTC maximalists

The numbers don't lie: when Bitcoin dominance falls, altcoins historically explode. This potential 37% crash in BTC's market share could trigger the mother of all alt seasons. Meme coins, layer 1s, and DeFi tokens are licking their chops.

Wall Street's about to get another painful crypto lesson

Traditional finance still can't wrap its head around Bitcoin—now watch them completely miss the altcoin rally. While hedge funds pile into BTC ETFs, retail traders might clean up on the real alpha: small-cap gems. Just don't tell the suits at Goldman what they're missing.

Bitcoin Dominance Rejection From Trendline Is Key

Over the years, the bitcoin dominance has been following a trendline that has often marked the point of resistance. This trendline rises from 2017 and has sloped down past 2021 and now into the year 2025. The significance behind this is the breakdown from the trendline and the Bitcoin dominance receding sharply from here.

Presently, the Bitcoin dominance is still sitting high above 65% at the time of this writing, but this recent rise has seen it touch the resistance trendline. According to crypto analyst CoreCrypto, this is a critical inflection point, especially on the weekly chart. More importantly, this is usually the point where dominance recedes, giving rise to altcoin dominance.

Some major developments that the analyst tells investors to watch on the dominance chart include a rejection from the resistance trendline, where the dominance currently lies above 65%. There is also support for the dominance, as shown by the yellow line in the chart below. A break below this support is critical for the fall in the dominance.

Bitcoin dominance altcoin season

Another development to watch out for is for rising Ethereum strength. In the past, the ethereum price starting to outperform the Bitcoin price has often signaled the start of the altcoin season. So, as the ETHBTC chart begins to strengthen and Bitcoin succumbs to sideways movement, it opens the door for altcoins to rally into the next altcoin season.

In the event of a break from the resistance trendline, the analyst sees the possibility of a sharp decline. CoreCrypto predicts a 36.91% drop to the 42%-45% levels. This is lower compared to previous altcoin seasons, but follows the declining trend of a 50.79% drop in 2017 compared to a 45.10% drop in 2021.

“If BTC.D gets rejected from this resistance again, it could mark the start of the long-awaited Altseason 2025,” the crypto analyst explained. “A breakdown from this wedge WOULD likely result in capital rotation from BTC into altcoins — just like in previous cycles.”

Bitcoin dominance chart from TradingView.com

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