FameEX Hot Topics | Bitcoin Dominance Climbs to 3.5-Year High, Leaving Altcoins Behind

Bitcoin's market share surged to its highest level since April 2021, as its price continued to rise in a subdued altcoin market. On October 15, Bitcoin's dominance peaked at 58.77%, the highest in three-and-a-half years, coinciding with a 10-week high of $67,800, according to TradingView. After briefly retreating to $64,880, Bitcoin rebounded to trade above $67,000, with a market cap of $1.32 trillion.

Historically, increased Bitcoin dominance has been challenging for altcoins, and this trend persisted as BTC gained 2.5% on the day, while most altcoins remained flat or saw declines. However, some analysts argue that Bitcoin's current dominance might be temporary, suggesting a decline could allow altcoins to rally.

In an October 16 post on X, Benjamin Cowen, founder of ICT Crypto, predicted that Bitcoin's dominance could top out at around 60%. Crypto investor Coach K Crypto also claimed that Bitcoin's dominance had likely peaked for this cycle, telling his 129,000 followers that BTC "needs to rip" before any significant shift to altcoins. Analyst Moataz Elsayed shared similar views, predicting on October 14 that Bitcoin's dominance is “about to crash hard,” potentially sparking a new altcoin season.

Ether (ETH) typically sees movement when Bitcoin's dominance wanes, but its performance has been sluggish. The ETH to BTC ratio, which measures Ether's value against Bitcoin, recently fell below 0.039, its lowest point since April 2021, signaling difficulties for altcoins in gaining traction.

Since reaching an all-time high of $73,738 in March, Bitcoin has mostly traded sideways but is now approaching a critical level—its 2021 high of $69,000. Institutional interest in BTC remains strong, with U.S. spot exchange-traded funds (ETFs) seeing net inflows of $371 million on October 15. Over the past three trading days, these ETFs have recorded over $1.1 billion in total inflows, according to Farside Investors, reflecting sustained confidence in Bitcoin despite the mixed market environment.

Disclaimer: The information provided in this section is for informational purposes only, doesn't represent any investment advice or FameEX's official view.