Bitcoin News Today: Bitcoin Dominance Nears 64% Resistance, 23 Percentage Points Rise Since Mid-2024 May Shift Capital to Altcoins

Bitcoin dominance is approaching a critical resistance level near 64%, raising speculation about a potential shift in market dynamics. Current data shows Bitcoin’s market share hovering at 61.3%, having gained over 23 percentage points since mid-2024. However, technical indicators suggest this upward trajectory may face challenges, with analysts warning that a failure to break above the 64% threshold could trigger a capital rotation into altcoins. This scenario aligns with historical patterns where altcoin rallies followed Bitcoin dominance pullbacks, potentially marking the start of a new phase for smaller tokens [1].

Recent analysis highlights a bearish MACD cross in Bitcoin dominance, the first such signal in over five years. This pattern previously preceded a 105-day altcoin season, characterized by significant gains in niche cryptocurrencies. Concurrently, altcoin market cap indices TOTAL2 and TOTAL3 have formed golden crosses, where short-term moving averages surpass long-term averages—a classic bullish signal. These developments suggest increased volatility and a possible reallocation of capital away from Bitcoin, with undervalued altcoins expected to benefit [2].

Historical context adds weight to these projections. Bitcoin dominance has repeatedly tested the 64% resistance level since December 2020 without a decisive breakout. Analysts note that a failure to surpass this threshold could amplify altcoin performance, particularly for projects that lagged behind Bitcoin in 2025. The market is closely monitoring whether Bitcoin consolidates or corrects, as such a move might unlock liquidity for altcoins, echoing past trends where Bitcoin dominance pullbacks led to multi-month altcoin surges [3].

The implications for the broader crypto market are significant. If Bitcoin dominance consolidates below 64%, capital rotation could drive renewed momentum for altcoins, reversing their underperformance relative to Bitcoin earlier in 2025. This shift would likely benefit projects with strong fundamentals but lower valuations, as investors seek opportunities amid Bitcoin’s stagnation. Analysts emphasize that the altcoin market’s recent technical signals, including golden crosses, signal a potential reversal in investor sentiment, with bullish momentum potentially extending through October [4].

While Bitcoin dominance remains a key focal point, market participants are advised to prepare for increased volatility and strategic entry points in altcoins. The interplay between Bitcoin’s resistance and altcoin indices underscores the interconnected nature of the crypto market, where technical milestones for dominant assets can ripple across the ecosystem. As the 64% threshold looms, the coming weeks will likely reveal whether Bitcoin can reclaim its upward trajectory or if altcoins will seize the opportunity to reclaim market share [5].

Source: [1] [title1] [url1] https://en.coinotag.com/bitcoin-dominance-nears-key-resistance-potential-altcoin-rally-could-follow-capital-rotation/

[2] [title2] [url2] https://en.coinotag.com/bitcoin-dominance-nears-key-resistance-potential-altcoin-rally-could-follow-capital-rotation/

[3] [title3] [url3] https://en.coinotag.com/bitcoin-dominance-nears-key-resistance-potential-altcoin-rally-could-follow-capital-rotation/

[4] [title4] [url4] https://en.coinotag.com/bitcoin-dominance-nears-key-resistance-potential-altcoin-rally-could-follow-capital-rotation/

[5] [title5] [url5] https://en.coinotag.com/bitcoin-dominance-nears-key-resistance-potential-altcoin-rally-could-follow-capital-rotation/