Bitcoin News Today: Ethereum Surges 5% Bitcoin Dominance Drops to 63.82%

Ethereum has recently surged, gaining over 5% and breaking key resistance levels. This rally has led to a shift in market dynamics, with Bitcoin's dominance dropping to 63.82%. The ETH/BTC ratio has climbed to 0.0267 BTC, breaking a year-long downtrend and hinting at a potential target of 0.035 BTC. This trend has sparked discussions among experts about whether Bitcoin's reign at the top of the market may be coming to an end.

Market commentator Matthew Hyland suggested that if Ethereum continues its upward trajectory, there is a "99% chance" that Bitcoin's market dominance has peaked. He acknowledged that Bitcoin's dominance cannot increase further if the Ethereum market tilt expands. At the time of reporting, Bitcoin's market dominance was up 9.89% since the start of the year but had decreased by 1.85% in the past week. This drop in dominance indicates that market participants are diverting their investments into altcoins, particularly Ethereum.

Prominent trader Ash Crypto attributed this shift in market control to capital rotation into Ethereum and other altcoins. Ethereum's market cap stands at $435.29 billion, up 5.29% in the last 24 hours. The weekly RSI has broken a three-year downtrend, suggesting a structural shift, and a 50-day and 200-day moving average golden cross is forming, indicating a possible sustained uptrend. Crypto trader Cas Abbe noted that ETH is close to forming one of the most evident bull flag setups and is poised for a breakout soon.

Despite Bitcoin hitting an all-time high, experts suggest that the asset may have cooled in the short term. Capriole Investments founder Charles Edwards believes that Bitcoin may trade within a tight range for now, although he remains confident about an end-of-year bullish run. Other analysts echo Edwards’ market view, maintaining that the coin is well-positioned to end the year strongly. Even though TradingView’s Bitcoin Moving Average Indicator flashes a “Strong Sell” Signal, 21Shares’ Matt Mena believes in Bitcoin's long-term growth potential.

As per the latest market updates, the ETH/BTC ratio rose to a multi-month 0.0267 BTC, validating a breakout from a bull flag setup. This trend continuation generally signals further climbs. The recent breakout first appeared on July 10, as ETH finished its trading day above the flag’s upper trendline, supported by strong rising volumes. The ETH/BTC pair has also moved above the exponential moving average for the first time in over 12 months. For now, the pair has established a base at the newly surpassed level. Supposing Ether holds above this level, it could soon move to the near 0.035 BTC, which is 30% above its current market price.