It looks like the altcoins have taken over, but Bitcoin [$BTC] won’t go down easy.
Who’s going to win?
Altcoins are waking up!
The market cap of crypto assets outside the top 10 has gone up about 23%; the strongest weekly move in months!
The category has also managed to break a long downtrend, going up from the $150-160 billion support area. This is a level that has held for about 1000 days.
And it’s not just the smaller coins getting a much-needed lift.
Total altcoin market cap [TOTAL2] also made waves, going above $1 trillion from its $880 billion level. At the latest reading, it was near $1.03 trillion despite a small slip downward this week.
AMBCrypto previously reported that altcoins added around $215 billion in market value between the 19th and the 22nd. Mid and small-cap assets were the strongest performers there; 56% of Binance-listed altcoins traded above their 200-day MAs.
Last year, that figure was at only 15%-20%.
So yes, it is evident that money is moving into altcoins. However, we’d be getting ahead of things if we started the altseason chants.
This is where Bitcoin dominance comes in
At press time, Bitcoin Dominance [$BTC.D] was at 60.25%. This means that Bitcoin still controls the lion’s share of the total crypto market.
Here’s what’s worth noting. Dominance has been holding firm around the 60% mark, and hasn’t broken lower.
Why is that important? A proper altseason usually needs more than just a few strong weeks for altcoins. Ideally, traders would want to see Bitcoin dominance start falling alongside a neat capital rotation into alternative assets.
That hasn’t happened yet. If anything, Bitcoin and altcoins are much more closely correlated now.
CoinGlass’ Altcoin Season Index was at 36, a far cry from the commonly associated 75 level. Interestingly, the same index was at 46 recently, so the number has actually dropped.
In simple terms, altcoins are doing better, but Bitcoin is still very much in the driver’s seat.
Final Summary
- $BTC.D is holding strong, even as altcoins put up a good fight.
- The Altcoin Season Index has also dropped to 36.
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