Bitcoin Dominance Dips to 60% as Altcoins Rally 15%
Bitcoin dominance has fallen by over 3% from June’s four-year peak of 66%, dipping below 60% to around 60%, a six-month low. Meanwhile, altcoin market capitalization surged roughly 12–15%, with TOTAL2 surpassing $1.5 trillion and TOTAL3 exceeding $1 trillion, driven by increased stablecoin inflows into exchanges. Historically, declines in Bitcoin dominance often coincide with broad altcoin rallies, signaling an emerging altseason. Traders are advised to diversify into high-momentum altcoins, employ profit-taking and dynamic stop-loss strategies to navigate heightened volatility and potential drawdowns if Bitcoin corrects.
Bearish
A drop in Bitcoin dominance below 60% indicates a rotation of capital into altcoins, exerting downward pressure on Bitcoin’s price. Historically, such shifts precede broader altcoin rallies and often coincide with underperformance in Bitcoin. In the short term, traders may see continued Bitcoin weakness as funds chase higher-beta altcoins; longer term, Bitcoin could recover but remains vulnerable until dominance stabilizes.