Bitcoin News Today: Bitcoin's 45% Dominance Sparks Debate: Altcoin Winter or Coming Rally?

Bitcoin's dominance in the cryptocurrency market has surged to 45%, sparking renewed debate about an impending altcoin rally. The recent plunge in Bitcoin's price below $100,000, coupled with strategic liquidity initiatives and shifting whale activity, has created a volatile but potentially fertile environment for altcoins. Analysts are closely watching whether these developments signal the start of a new "altseason" or a prolonged downturn.

Bitcoin's price slump, which erased $230 billion in market value on Nov. 5, 2025, has intensified concerns about a broader market correction. Over $1.3 billion in crypto positions were liquidated in a 24-hour period, with Bitcoin accounting for $445 million of the losses, according to a Yahoo Finance report. The Altcoin Season Index, a metric tracking altcoin performance relative to Bitcoin, has fallen to 24, its lowest since the start of 2025, according to Phemex analysis. Despite the gloom, some market participants argue that the conditions resemble pre-2020 altseason patterns, with the ETH/BTC ratio forming a bullish crossover, as Phemex later observed.

A key catalyst for optimism is Bitget's recent $2 million interest-free loan program for altcoin liquidity providers. The exchange's initiative, which halves qualification requirements compared to its existing programs, aims to address fragmented market depth and volatile spreads in smaller-cap tokens, according to a Yahoo Finance article. By offering zero-interest loans with 5x leverage, Bitget is directly countering Binance's earlier Altcoin LiquidityBoost Program, which focused on fee rebates. The move aligns with broader efforts to reduce Bitcoin's dominance, which some analysts predict could peak at 60% in early 2026, the Yahoo piece adds.

Meanwhile, Solana has emerged as a standout performer amid the downturn. Despite a 5.4% drop in its price to $151.90, the blockchain generated $4.33 million in app revenue in the past 24 hours, surpassing Ethereum's $1.82 million, according to a TradingView report. This "flippening" in app-generated income, driven by platforms like Pump.fun and Jupiter, underscores Solana's growing utility and adoption. The network's spot ETF, launched in mid-October, has attracted $531 million in net assets during its first week, reflecting institutional confidence, per an Ambcrypto article.

Ethereum, however, faces headwinds. Its active address count has fallen 17% since July, with Solana's monthly active addresses declining by 30% in Q3 2025. On-chain data suggests a cooling of interest in altcoins, with DeFi trading volumes trending downward. Yet, Ethereum's 4.47% price drop to $3,235 has not deterred whales from accumulating, as evidenced by 20 profitable trades on Hyperliquid since October, a trend highlighted by Phemex's initial analysis.

The broader market context includes Amazon's $38 billion AI cloud deal with OpenAI, which has redirected compute resources away from traditional tech rivals, according to a StartupHub article. While not directly linked to crypto, the agreement highlights the growing importance of infrastructure in high-demand sectors—a theme that could extend to altcoin projects prioritizing scalability and efficiency.

Technical indicators offer mixed signals. Bitcoin's 12-hour chart shows it testing support near $103,321, with the MACD indicator in deep bearish territory, as noted in the earlier Yahoo Finance report. However, the Altcoin Season Index's historical correlation with market cycles suggests a potential rebound if Bitcoin stabilizes. Whale activity, particularly in Ethereum and Solana, indicates that capital is still flowing into high-utility assets, even as broader sentiment remains cautious.

As the market navigates these crosscurrents, the coming months will likely determine whether the current conditions evolve into a full-blown altcoin winter or set the stage for a recovery. With Bitget's liquidity injections, Solana's revenue surge, and Ethereum's lingering appeal, the stage is set for a pivotal test of altcoin resilience.