Bitcoin Forum

 Dominance
Let's talk about Bitcoin dominace, it hight time people should divert attention from altcoins not completely though :) there will always be a need to but let's focus more on Bitcoin is now as it dominance hitting
 49%to 51%

https://www.talkimg.com/images/2023/09/19/6jHsD.jpeg

Currently we will be having some bull runs in the market as they are also expect to overcome  the $27,400+ resistance moving the support forward to attain a new price range

https://www.talkimg.com/images/2023/09/19/6jASG.jpeg
According  to my analysis above  if there seems to be a breakout due to the current bullrun then there should be more bulls :)

In a quote of Markus Thielen(an analysts for research  at Matrixport) state that Altcoins is now having shaky ground
 
Sorce : ETHNews

Source Link: https://www.ethnews.com/bitcoins-surge-rockets-to-27400-is-30000-or-25000-next-exclusive-report-inside/

To read more,  the above link serve

Altcoins can make new bottoms from now till the end of 2023 before they can start to recover and prepare for Bitcoin bull run in 2024 after halving. Without Bitcoin bull run, altcoins will be dead coins and they will have no actual bull run in 2024.

I think it is still very risky to use your capital to buy altcoins now and rest months of this year. Bitcoin is still in a bearish market and after stucking below $30,000 some months, failed to break out of the strong resistance, and after having good recovery from $16,000 to $30,000, it's sensitive time for Bitcoin.

When Bitcoin has hiccup in this sensitive time, altcoins will not have good movements.

I will say this is true. But without bitcoin ETF, altcoins have been following bitcoin price. If bitcoin increase in price, altcons follow and they also increase in price. If bitcoin decrease in price, altcoins follow and they also decrease in price. But bitcoin is better because it is less volatile than altcoins, it has more marketcap and more utility.

Bitcoin spot ETF would be one of the reasons that more people will have access to bitcoin, that is definitely true.

One thing I just do not like about altcoins is that the can be disappointing, when you expect their price to rise, they may disappoint. Also when they are falling in the bear market, their fall can lead to almost total lose of money.

Bitcoin dominance is not an indicator on which technical analysis is calculated because it measures something limited versus something unlimited and changes easily. Market prices for alternative currencies are easy to manipulate and cannot be considered an indicator of growth compared to the difficulty or impossibility of manipulating them in Bitcoin due to the limited and variable supply with a fixed curve.

The dominance measure measures Bitcoin with its mass of all altcoins, including which it may not necessarily mean an increase in the price of altcoin (because they contain stablecoins), but the least relationship we can describe is

• dominance UP                                 bitcoin UP                                  ALTCOINS DOWN
• dominance UP                                 bitcoin DOWN                             ALTCOINS DUMP
• dominance DOWN                            bitcoin UP                                 ALTCOINS PUMP

At some point, we will reach the USDT market cap being higher than Bitcoin, but this will not change the price of Bitcoin or lead to its decline.

This data shows that a lot of people are coming to terms with the reality that Bitcoin is the future... it has always been Bitcoin against the rest of them. Gradually, the hype around altcoins is fading away and "water is finding it's level".

I was actually surprised to see Bitcoin dominance rise so significantly yesterday and it simply confirm that the next bull market might come without a corresponding altcoin season like we do have in the past.

On September 19, 2023, the price of bitcoin, according to the present market, will be around 48.9945%. Therefore, Bitcoin currently accounts for more than 50% of the entire cryptocurrency market valuation. As a result, according to my hypotheses, this growth is a significant improvement over the November 2022 month, which is only 37.28% lower.

In conclusion, Bitcoin continues to be the most well-known and recognizable cryptographic asset worldwide. And for investors worldwide, the most secure and trustworthy investment. While others continue to follow the movement of Bitcoin due to its volatility, we should still exercise caution while dealing with other altcoins. Because of this, its risk volatility is greater than Bitcoin's. Thus, greater vigilance is required.

[A] https://ng.investing.com/news/stock-market-news/bitcoins-market-dominance-on-the-rise-amid-a-volatile-crypto-landscape-93CH-1075881

AFAIK, bitcoin price is not always proportional to the bitcoin dominance level, in the previous bull run its ATH hit around when BTC dominance was around the early 40s so most likely if the dominance increases there are chances for correction in the market so prepare for that before thinking about next ATH value.

Another reason why dominance increase while shitcoin decreases means people are dumping their shitcoins to buy bitcoin which means new money didn't enter into the market still people interested in converting their portfolio filled with bitcoin as much as possible.

Absolutely bitcoin dominace doesn't guarantee an increase in the market value neither does the post show a correspondence between them. The view is just to show the acceptability level as the time of halving is getting  near about 200 days I guess, what its suggesting is that some altcoins will get out of the race as it's also explained in the quote.

Brother, I do consider Bitcoin dominance and your analysis as on some level own weightage, but not about the dominance for all as per the latest market developments and other trading sentiments most dominatingly recent Death-Cross. Dominance plays a significant role in analyzing the market on a higher timeframe but at the same time, the current market sentiments are bearish, as far as it is related to the 27k breakout.

There is no fundamental or technical base for that AFAIK is just to liquidate all the open positions of the traders that they've made for the coming few days, as most of the global economies are going to release their Monetary policy reports, this week will decide the month's total performance. Be careful with the trades, form the manipulation and market volatility, a friendly pre-reminder.

With this level of dominance while the price is still below 30K, It only shows that the liquidity on crypto is thinner since more money being poured to Bitcoin from Altcoins while the price is not moving significantly.

This is really a bad sign for altcoin when Bitcoin suffer another downtrend since the dominance will surely continuos to rise since altcoins is not yet recovered. Bitcoin dominance show how money from Altcoins is diverted to Bitcoin. The pump is not a result of fresh money or else dominance should be decreasing since new money tend to diversify on different crypto assets.

Thanks for sharing such a good piece of information as I forgot to check the dominance ( I actually check it often). You have made a good analysis here. But you mentioned here that the current up trend is a bull run but it is not. As the bull run has not started yet. The bull run starts after every halving and then after a bull run, there comes a bearish cycle. The current increment in the price of BTC does not indicate any bull run instead it's just a small up trend which is for their for small moment I think. As MT GOX distribution is going to happen.

Other than this, I think market manipulation will occur again but that's just an assumption.

Talking about alts, we all know that when the BTC dominance increases then all alts bleed, I have saw a good relationship picture that shows the relation of BTC dominance with the ALTs.
https://talkimg.com/images/2023/09/19/6rNvj.jpeg
source (https://www.moonpay.com/learn/bitcoin/what-is-bitcoin-dominance)

Bitcoin dominance will definitely increase as lot of bad news spread in the market and investors are looking for save coin which is only btc. for last some months Big coins like Eth and Bnb dominance is decreasing which is very bad sign for altcoins. Last quarter of the year often proved bad for crypto market and investors will not take risk and we could see more blood bear in altcoins. no new money flows into the market while btc dominance increasing which is clear sign that money are shifting from other coins to btc.

Bitcoin ETF and halving are going closer which may be one of the reasons whales are shifting in time because price of btc is already down and these two events could bring btc back to 40k. altcoins will be then very late because
first some new money needed to be enter into btc which will increase btc dominance.
second Bitcoin have to pump and break major resistance. Altcoins will be dump at this stage
third btc dominance decrease and price remain stable then altcoins season will start

You're right mate, bitcoin bullrun hasn't started yet, we are only having experience with it way of preparedness towards the next year galving which will follow by bullrun, howeve, there's a need to always understand that this volatile cryptocurrency will never seize being volatile and this alone is a dominance itself, the market demands and supplies always are the deterministic mode to know how this could dominate the market to go bearish or bullish knowing that the two remain constant.

Maybe before the end of the year, we should expect more of the market pump than dump, this may get to about $50,000 before we attain the ATH of $68,000 then to followed by the next bullrun after 2024 halving.

Thanks for your valuable insights, and I can not agree more with your facts. As I also think that the market might reach $50k this year because it is possible for the BTC and there is much good news circulating in the market too. But most of the time, it all depends on the interest rates announced by the FEds, and the current MT GOX case, other than this there are many other factors involved that could dump the market, and then that would be a great point for Buyers to take entry.

Specially for the whales, and for the institutions, who wish to apply or already apply for ETFs.

I'm eagerly waiting for the next bull run and I think BTC will reach $110,00 easily. And I don't really think that BTC will reach the previous ATH this year. But fingers are crossed and let's see what comes next.

Bitcoin dominance has ceased to matter, at least for me, from the moment dominance has to be split between 30,000 shitcoins and the Bitcoin. If there was only one that came close, I would be more concerned, but if it was Eth, I wouldn't even worry about it because it serves as the basis for many other shitcoins.

In the next bull run some will hit the lottery with the shitcoin of the day, while most will lose a lot of money and those of us who invest in Bitcoin will have decent and safer returns, although not as spectacular as some shitcoins. But we will have a pristine premium asset, if not the best.

History is repeating itself because in the last month of August, BTC dominance crossed 50%, and at that time, the market was also going up, people were saying that this was the start of the bull run, but after that, the market was dumped by the manipulators and the whales. This shows that this might be another bubble to bring more investment into the market. And we also know that when the price of the market increases, many newbies who have listened a lot about halving and bull runs must think that the bull run might have started and they got into FOMO by thinking that they will not get another chance to take entry in the market.

And they must have made a mistake by taking lump sum entries, which is a big mistake. Because dominance is not an indicator to take entries in the market instead it increases when there is more money in BTC and less in fiat. Alts have some relation to the dominance of the BTC as @Faisal2202 shared a useful pic.

People are now not dependent on ALT Coin but people are now dependent on Bitcoin. People prefer to invest in bitcoins more than anything else. There are ample reasons to choose investing in Bitcoin. Investing in Bitcoin is not as risky as all other coins in the market and Bitcoin investment is much more reliable than investing in ALT coins. In this period of the market people are willing to eat comparatively less profit but they cannot take the risk of losing their money that is why people now live Bitcoin as the first choice to invest. I am not saying to invest only in Bitcoin but we should have main investment in Bitcoin and as side investment we should choose ALT coin.

Yes, you are right, because many people start to make investments in BTC when they see it coming up. And that's increasing the dominance of the BTC. And whales and manipulators took advantage of it. We can say for sure that dominance cannot be used as an indicator to time the market; instead, it can still be used to analyze the potential of the market, specifically, those who are alt-coin traders. They have to keep a straight eye on BTC dominance. because increasing dominance has a bad impact on the ALTs.

When more money comes into the BTC, its dominance increases. And that's not a good sign in the short term. And we have learned it from the historical events. But still, it makes a good impact on the overall BTC market. BTC's market cap has broken many records of many other financial companies by having a big market cap.

People who have already taken entries in the altcoin and are bearing the loss might not sell their altcoins to take entries in the BTC. Because those who are smart enough knew that the market was up for a temporary period. And they knew they just had to bear the market for a short period of time.

Yeah, it was just all make believe by these whales. I am sure this is not just the first time it crossed over 50%, and this means nothing anymore. Before we are celebrating bitcoin dominance but because there are a lot of coins now in the market, all the money became diverse, and nothing's really surprising about it, not even a cents. Try not to look at it and you will be surprised how it moves parallel to the market situation. Bull or bullish it doesn't matter, it is and it will be always the hype, news, and just whatever and whenever they want to buy BTC.

I agree, don't make it as an indicator, again it means nothing anymore. I suggest to look out for more altcoins if you want to buy, but pay respect to BTC and get more than 30% of your portfolio of it.  ;D

There is going to be one of those standard clean outs for alt coins anyway as the bull run is the time when people take one more serious look at what they are holding and then ask themselves whether they rather be in Bitcoin and not in this weird shit coin. That's when a serious sell off happens and most of those shit coins do never recover from that because the so called developers behind those shit coins also pull the rug and drain the liquidity, which is why they won't recover ever. But that doesn't mean we are free from shit coins then. It is the time when people made money with the Bitcoin bull run and then choose to deploy some of it to get the next shit coin going.  >:(

I’ve never really paid any attention to Bitcoin’s dominance in relation to the price cycle so I’m not sure if this is relevant or not with regards to foretelling price movements. It does feel a little bit like people are waking up to shitcoins and becoming Bitcoiners more this cycle than the previous thought. At least from my perspective.

Without Bitcoin, other shitcoins will mean nothing. Bitcoin dominance is smaller than it actually is because so many abundant altcoins have been created too easily and contributed a lot to cryptocurrency market cap that reduces Bitcoin dominance.

Like a new shit coin created and pumps x100, with high total supply but in fact its value is zero and after a while, its price will be corrected to actually reflect its value. Altcoins die with time but Bitcoin becomes stronger with time. In other words, Bitcoin dominance is bigger with time in this perspective.

The more people learn about crypto the more they realize how BTC dominance is important. All those shitcoins and memecoins will go away, at least 99% of them. BTC and some quality coins will stay. But I'm not so sure about those altcoins.

It's better like that, so we don't think too much about how the price will move later. And it also won't make us panic or worry if price movements differ from our analysis.

But no matter what, every move in Bitcoin will affect altcoins. Bitcoin prices fall, altcoins will also fall, and some will even fall deeper. The price of Bitcoin is stable, some altcoins can go up and some don't move. But when the Bitcoin price rises a little, some altcoins will rise following the Bitcoin price movement.

Apart from that, altcoins that are not strong enough to follow movements will be eliminated from the market and replaced by other altcoins. But Bitcoin's dominance will remain stronger than altcoins.

I agree with you, with what's going on, now is not the right time to invest in altcoins. I think we should wait more or maybe after the halving happens, that's the time to think about investing in altcoins. For now, the entire focus should be on bitcoin as the market could still fall more even with the halving approaching. If bitcoin falls below $20k again, altcoins will have a new bottom or some will die and not be able to recover. The altcoin markets are extremely harsh and risky, so be careful with them.

One thing we need to understand from the market is that if Bitcoin do not move at all, no altcoin will be able to stay bullish for long. The market rely on Bitcoin to move that is why we don't have to ignore the Bitcoin market or else we might be getting it wrong.

Those that had been in the market for long even before the uprise of many of the altcoins we have in the market. The dominance is present in the market and we need to have that in our mind. If we all spend more funds in buying altcoins than Bitcoin then we are going to experience a backward Market which will prolong the bear market to extend more than what we have experienced so far.

I suppose it's something like that or maybe it could be an indicator of people shifting their assets from Bitcoin into altcoins/shitcoins or vice versa. That sometimes happens during a bull run when the crowd things that Bitcoin may stop going up and go sideways for a while. They then have the genius idea to sell their precious Bitcoin for some lottery ticket aka shitcoineryticket.

I think there was one event when Ethereum had some significant growth and outperformed the rest of the crypto market when Bitcoin lost a huge share in dominance. But as a bottom line I don't think it's really an important indicator of anything.

Yep, this is why I intend to put all my allocations on Bitcoin first. I think there are still a lot of people into altcoins because they are aiming for high ROI just in case we do a bull market again. But for me, it's kinda risky because you don't know when bull market will happen, it's better to be safe than nothing, so Bitcoin is the safest now.

volatility is the key function of all crypto coin may be its altcoins or bitcoin but if we compare the dominance of both so we can concluded that as bitcoin is more accepted by the crypto users so its volatility cannot change the demand for bitcoin but if price Fluctuations occurs in altcoins then demands for specific altcoin will reduces which can reduce such altcoin the value of zero.

Because of the Bitcoin's dominance users are more likely to accept bitcoin in contrast with altcoins as altcoins are more profitable but trustable coin is only bitcoin which will remains dominant over other coins always.

Certainly bitcoin will still dominate this cryptocurrency market, but if you compare bitcoin's dominance many years ago and until now, that dominance is gradually decreasing because of the rise of altcoins. In the past, there was a time when bitcoin dominance accounted for 80% of market capitalization but now it has dropped to 50%.

Although there is still very high and absolute dominance, btc dominance is decreasing over time as altcoins are increasing and growing continuously. I think that as the market gets bigger and altcoins get more serious about project development, this dominance will gradually be redistributed.

But in this cycle, you are right, bitcoin dominance is still huge and we should focus on bitcoin to stay safe.

This is a time of uncertainty. The price of bitcoin is in the corridor from 25 thousand to 30 thousand, which is the local maximum price since 2023, and two times optimistic traders tried to break through this level, but without success. Now is the moment when it is necessary not to take any position and prepare for the fall. I have placed several pending orders at the lower support levels in the area of 25, 16, and 8. Bitcoin cannot fall below as this is an impenetrable trend support level for all time. Therefore, 8k is the lowest. The fact that now the price will rise above 30k, I think it is unlikely.

Bitcoin is the only cryptocurrency which we can confidently say is not a security. Investment firms are going to focus their ETFs on whatever has the best chance of getting government approval. I don't expect them to stay only with Bitcoin forever. Eventually they will look for new ways to make profit and altcoins seem to be the easy answer for crypto oriented businesses. I expect it to maintain it's dominance for quite some time but once the halvening is passed and ETF applications start diversifying into altcoins it could start going back down.

Agree. The end of this year will probably be a lean period for altcoins as long as Bitcoin cannot break through $32,000. Keep in mind that bitcoin is still struggling to break through its resistance level.
I believe BTC is close to its bull run, I hope that early this year BTC will start on its bullish silk road.


If this still applies, it is still certain that Altcoin will print a new lower area. Maybe for scalpers this is an opportunity to make money, when every price dump on altcoins they take advantage of the price bounce which can sometimes provide profits of tens to hundreds of percent.

Some people are investing their money more in altcoins because they feel they're very cheap and can easily afford to buy them compared to Bitcoin, which they think is very expensive. But yeah, bitcoin might be expensive to purchase one piece of it, but that doesn't mean that the investor must buy a whole bitcoin at once. They don't realize they can buy Bitcoin in fractions for any amount they can initially afford to invest. Although some altcoins can luckily earn some investors a huge profit, like already some investors have been able to make some profit in altcoins but it was out of luck, so anyone who is venturing into altcoins should just be fully aware of the risk of losing their money if the project falls at the end of the day. Bitcoin is really dominating, and it's still in the bear season, which gives an investor the opportunity to buy now and make a profit during the bull run.

For me, it's not a matter of dominance with regard to personal investments. Well if you are considering long-term investment then put BTC on your list as it is already established among all cryptocurrencies.

But if you're a person who prefers altcoin what I would suggest is to do their own research thoroughly on the project they are going to. Read the white paper, double check the website, and also like other assets, what is its purpose or benefits to people and users.


Because compare to BTC which already has a large market cap, most Altcoins aren't which makes it very volatile. Small fluctuations on its price is either you make a lot of money or you lose it all.

I think one of the reasons why people keep investing in altcoins is because they don't really understand the concept of the cryptocurrency market and they think that there is huge profits I'm altcoin investment. If so there arf still some certain precautions we need to take when we want to invest in the altcoins Marketplace. If Bitcoin is still on a bear market then we should also be expecting a bear altcoim Market too. Although sometimes there can be pump and dump which is one of the things we do see in the market recently. They will pump a particular altcoin and take there profits as soon as possible making it to form long bullish and bearish candle stick.
 

Even without knowing about this infographic people already understand the Bitcoin dominance in relation to altcoins. But what really happens is that people still believe the altcoin for some certain cases which is related to gambling. If you check out the infographic posted above, you can see that a time comes when altcoins dump beyond expectations. This is actually the bad time. On the good time, you will understand that altcoins will pump very well. Instead of gambling with this excessive pump and excessive dump people have realised that going the Bitcoin way, which is normal increase and decreases is the answer to accumulating wealth in the cryptocurrency industry.

This is not something new as bitcoin's dominance increases whenever market is not stable or when it's an extended bear market as people don't want to risk their portfolio as Altcoin will get messed up in these scenarios. But once the market is good then dominance of Bitcoin gets splitted between top performing altcoins, but bitcoin will continue to be the dominant in the crypto market atleast for one more decade.

Very true, they think that they're able to purchase something on a discount and the opportunity is the same as Bitcoin. That's not what it is but if that's how they believe it works, some are even making money out of it when the bull run comes. But whichever type of investing works for you, better to keep on doing that and as for those investors that are managing to make more with altcoins of their choice, that seems pretty fair for them but still Bitcoin is the best of them all regardless of how much they gain in altcoins.

That's it, the risk is even higher with altcoins and they don't know if by tomorrow the value would be increasing more as there are also bunch of investors that has the same thinking as theirs that would dump as quickly as possible when they see a probable collapse.

That's expected, the whole market is anticipating a bull run next year after the halving event, and thus people are starting to accumulate as many Bitcoins as they can when the price is still low, and some might even divert their investments from other assets into Bitcoin because of the potential it has. The market cap dominance of Bitcoin will keep going up until we enter the bull run and then when the price starts crashing, altcoins will also get a fair share.

But, what you are calling a bull run isn't actually a bull run. If the price keeps going up and doesn't drop at all, that will mean that we are in the bull run. However, the current price doesn't really show much signs of that and we are not yet in the bull run, if the price manages to go above the previous resistance at $31k, then we might expect something.

Really!, ... "they discovered warm water", it seems that everyone is late to the aforementioned idea, bitcoin dominance.

That the Alts are more volatile than bitcoin, oops, it is something relative and in the more than 10k alts that exist, against which one? Here the comparisons cannot be generic, it is compared from one to many, as a total domain.

Now, of that "many/alts" to bitcoin must be specified, not all alts projects are shit and their existence gives more meaning to bitcoin in that domain, whoever does not understand it as a sense of investment will lose money, it is that way simple, but anyway if we talk about total domain, it has a date of birth, 2009, until now 2023, it has not been different, you don't need to see so many graphs or be a lawyer to know it.

Well, yeah, Bitcoin investment is usually very
profitable for long-term investment, but the majority of altcoins don't generate any good profit despite the investment tenor (either long or short). Although some altcoins, too, do generate profit for a short-term investment, it sometimes too results in losses when someone invests in altcoins and holds them for a long time because most of these altcoins keep dumping time after time until they finally crash.

Natsuu, I did invest in altcoins in the past, and I really did do thorough research on most of the coins I invested in, but yet I did not make a tangible profit from it. So, it's not just about doing research and reading white papers; any altcoin project that wants to fail will fail. From the start, their white paper will be genuine with a perfect road map, but some time they will still fail along the line.


One very important precaution to take, which might not really be a precaution but a warning, is that the investor should always remind themselves that the altcoin investment might be profitable or not, so let them only invest what they can afford to lose.

Correct. Bitcoin dominance increases when Bitcoin does not move much and the market is slow. Currently the altcoin market is not doing well. Due to the increasing dominance of Bitcoin, traders are keeping a distance from the altcoin market in order not to put their funds at risk. Again, when Bitcoin makes a sudden big pump, Bitcoin's dominance increases, resulting in maximum altcoin dumps, as traders become more interested in trading Bitcoin and the top coins.

The current market situation is not good as a result of which the entire market has slowed down which is increasing the dominance of Bitcoin.