Bitcoin News Today: Bitcoin Dominance Nears Potential 3W MACD Bearish Cross Amid Signs of Altcoin Momentum

Bitcoin dominance, a key metric tracking Bitcoin's share of the total cryptocurrency market, is approaching a significant three-week (3W) MACD bearish cross—a technical indicator historically linked to a decline in Bitcoin's dominance and a subsequent rally in altcoins. This pattern, last observed in January 2020, was followed by a 105-day period of strong altcoin performance. Current market conditions suggest a similar shift may be unfolding [1].

The 3W MACD bearish cross occurs when the MACD line crosses below the signal line over a three-week timeframe. For Bitcoin dominance, this signal has historically preceded a drop in Bitcoin’s market share, as investors reallocated capital to alternative cryptocurrencies. In 2020, this event coincided with a sharp decline in Bitcoin dominance and a robust altcoin bull run. Analysts at CrypFlow note that the current chart structure mirrors the 2020 cycle, raising expectations for a repeat of the 105-day altseason [1].

Altcoin market indices TOTAL2 and TOTAL3 have recently formed golden crosses, another bullish technical signal. A golden cross is defined by a short-term moving average crossing above a long-term moving average, indicating upward momentum. These indices, which aggregate the performance of major altcoins, suggest growing investor interest in non-Bitcoin assets. Market analysts describe this as "textbook capital rotation," where funds flow from Bitcoin into altcoins [1].

CrypFlow’s analysis projects that the altseason could extend through October 2025 if the 3W MACD bearish cross in Bitcoin dominance is confirmed. This timeline aligns with the 2020 cycle, which saw altcoin dominance peak approximately 105 days after the initial bearish cross. The firm emphasizes that the technical setup—combining the bearish cross in Bitcoin dominance with golden crosses in altcoin indices—provides a data-driven framework for anticipating market trends [1].

Traders are advised to monitor Bitcoin dominance and altcoin indices closely as the market navigates this potential shift. The interplay of these signals underscores the importance of technical analysis in crypto markets, where sentiment and capital flows can rapidly reshape asset dynamics. While the 105-day projection is a forecast by CrypFlow, historical parallels and current indicator alignment strengthen the case for heightened altcoin activity in the coming months [1].

Source:

[1] [Bitcoin Dominance Nears Potential 3W MACD Bearish Cross Amid Signs of Altcoin Momentum] (https://en.coinotag.com/bitcoin-dominance-nears-potential-3w-macd-bearish-cross-amid-signs-of-altcoin-momentum/)