A comparative weekly analysis of Bitcoin Dominance (BTC.D) and the dominance of altcoins excluding the top 10 (OTHERS.D).
Key Observations:
Left Chart (BTC Dominance - BTC.D)
Current Level: 62.88%
Resistance: Around 63.09% (marked by a red line and arrow)
Previous Support: 60.17% (red horizontal line)
Trend: BTC dominance has been rising and is approaching a major resistance zone.
RSI: 66.35, showing bullish momentum but nearing overbought levels.
Bearish Divergence in RSI: The RSI has shown lower highs while price made higher highs in the past, indicating potential weakness in the trend.
Right Chart (Altcoin Dominance - OTHERS.D)
Current Level: 8.19%
Demand Zone: Highlighted in yellow (around 6% - 8%)
Trend: Altcoin dominance has been declining and is now approaching a strong demand/support zone.
RSI: 36.15, indicating oversold conditions and a possible bounce.
Possible Market Implications
If BTC.D breaks above 63%, it could signal further Bitcoin dominance, leading to more capital flowing into BTC rather than altcoins.
If BTC.D gets rejected at resistance, we might see a rotation of capital into altcoins, leading to a bounce in OTHERS.D.
OTHERS.D is at a demand zone, meaning a reversal could be imminent if buyers step in.
The RSI on BTC.D suggests caution as it nears overbought levels, while RSI on OTHERS.D suggests a possible bounce.
Potential Strategies
For BTC holders: Watch for rejection or breakout above 63%. A rejection may lead to altcoin season.
For Altcoin traders: A bounce from the demand zone in OTHERS.D could be a good entry point for altcoins.
For Market Neutral Traders: Look for BTC dominance rejection signs and altcoin strength confirmation before rotating capital.
Would you like further insights or an updated analysis? 🚀
Key Observations:
Left Chart (BTC Dominance - BTC.D)
Current Level: 62.88%
Resistance: Around 63.09% (marked by a red line and arrow)
Previous Support: 60.17% (red horizontal line)
Trend: BTC dominance has been rising and is approaching a major resistance zone.
RSI: 66.35, showing bullish momentum but nearing overbought levels.
Bearish Divergence in RSI: The RSI has shown lower highs while price made higher highs in the past, indicating potential weakness in the trend.
Right Chart (Altcoin Dominance - OTHERS.D)
Current Level: 8.19%
Demand Zone: Highlighted in yellow (around 6% - 8%)
Trend: Altcoin dominance has been declining and is now approaching a strong demand/support zone.
RSI: 36.15, indicating oversold conditions and a possible bounce.
Possible Market Implications
If BTC.D breaks above 63%, it could signal further Bitcoin dominance, leading to more capital flowing into BTC rather than altcoins.
If BTC.D gets rejected at resistance, we might see a rotation of capital into altcoins, leading to a bounce in OTHERS.D.
OTHERS.D is at a demand zone, meaning a reversal could be imminent if buyers step in.
The RSI on BTC.D suggests caution as it nears overbought levels, while RSI on OTHERS.D suggests a possible bounce.
Potential Strategies
For BTC holders: Watch for rejection or breakout above 63%. A rejection may lead to altcoin season.
For Altcoin traders: A bounce from the demand zone in OTHERS.D could be a good entry point for altcoins.
For Market Neutral Traders: Look for BTC dominance rejection signs and altcoin strength confirmation before rotating capital.
Would you like further insights or an updated analysis? 🚀
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.