Bitcoin (BTC) has reached its highest market cap dominance in three years, putting renewed pressure on altcoins. According to data from Cointelegraph Markets Pro and TradingView, Bitcoin’s share of the total cryptocurrency market cap surged to 56.3% on April 12.
While Bitcoin’s price experienced a decline over the weekend, altcoins faced even worse conditions. Many of the top twenty cryptocurrencies by market cap fell more than 15%. As a result, altcoins lost market share to Bitcoin, making the market more Bitcoin-centric than it has been since April 2021.
Despite the recent dominance of Bitcoin, some traders believe that altcoins will have their moment. Historically, during Bitcoin bull markets, altcoins tend to catch up once Bitcoin goes through a period of consolidation. However, in 2024, altcoins have not yet experienced such conditions for a significant amount of time.
Nevertheless, traders like Mikybull Crypto remain hopeful for an altcoin season. They argue that the market cap of altcoins is closely following the pattern of previous altcoin seasons. They compared Bitcoin and altcoin dominance, drawing similarities to the end of 2020 when Bitcoin’s price had just surpassed its previous macro trading range below $20,000.
It’s important to note that this article does not provide investment advice. Readers should conduct their own research and make informed decisions when it comes to investments and trading.