Bitcoin (BTC) has been experiencing volatility for some time as it continues to trade below the $100,000 resistance level. This stagnated rally led some analysts to believe that the crypto market is entering altcoin season. A leading cryptocurrency analytics platform, Cryptorank, thinks otherwise.
Altseason delayed as Bitcoin maintains market control
In a post on X for the broader crypto community, Cryptorank noted that the recent volatility and market pullback do not validate an altcoin season. According to the insight shared, Bitcoin dominance has risen to approximately 55% despite fluctuations.
Cryptorank insists the market ups and downs are because of a broader market correction and in no way suggests weakening momentum for the flagship coin. It noted that investors are still betting on Bitcoin and not moving funds into altcoins just yet.
Notably, altcoin season usually begins when Bitcoin dominance drops. This happens because investors start moving their funds from BTC into smaller assets for better returns.
However, with Bitcoin dominance still holding steady at almost 55%, Cryptorank maintains that the price volatility is a general market correction, not that altcoins are about to witness a surge.
Some market participants have agreed with the analysis, noting that Bitcoin still leads in the crypto sector and is holding steady. Notably, Bitcoin has an enduring influence on the sector and continues to dictate the market pace for now.
Others are optimistic that altcoins will soon record significant gains despite Cryptorank’s analysis. As of press time, Bitcoin exchanges hands at $91,022.30, which represents a 0.54% decline in the last 24 hours.
The coin had previously jumped from a low of $88,526.83 to peak at $93,025.07 before slipping to the current level. Many consider the spike to $93,000 as BTC’s potential to push for higher levels despite the lingering fluctuations.
This is reflected in the trading volume, which has climbed by 24.71% to $87.6 billion within the same time frame. The increase in trading volume suggests that investors might be taking advantage of the current price to expand their portfolio as they anticipate a rebound.
Market outlook and Bitcoin performance
While investors hope for a swift rebound, renowned market analyst DonAlt remains cautious in his expectations. He believes that before any significant upward price movement can be seen with Bitcoin, the price has to stay above $95,000.
The analyst believes that, given the lingering pressure on BTC, only a close above this threshold can protect the coin from slipping further down to new lows.
For Bitcoin evangelist Michael Saylor, he is not backing down from the asset. This is despite the 30% loss in dollar value within the last 60 days. Within this period, Strategy has lost around $20 billion as the coin’s volatility continues to put pressure on the business intelligence firm.
Source: https://u.today/bitcoin-dominance-stability-invalidates-altseason-hype
