Altcoin Bull Run Likely as Bitcoin Dominance Drops
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Investors may be looking to altcoins as the crypto market enters an interesting phase. Although altcoins have shown upward momentum, they have struggled to sustain it, with values dropping in the last 24 hours. This decline may not deter investors due to promising indicators.
Key indicators for altcoin price increase include TOTAL2 and Bitcoin dominance charts. TOTAL2 measures the market cap of the top 125 cryptocurrencies, excluding Bitcoin. A rise in TOTAL2 and a drop in Bitcoin dominance could signal an altcoin surge.
Bitcoin's dominance recently fell from 55.80% to 55.41%, while TOTAL2 noted a 3.86% increase. If this trend continues, non-Bitcoin cryptos could gain value. Additionally, the Exponential Moving Average (EMA) indicates a potential upswing if the 20 EMA surpasses the 50 EMA.
Investment inflows into altcoins like Ethereum, Solana, and Binance Coin have recently increased, pointing to growing confidence in their potential. Sustained inflows could lead to the anticipated altcoin season.
However, opinions differ among analysts. Some, like Benjamin Cowen, suggest it could take a couple more months before altcoins outperform Bitcoin. Altcoins could recover, but their bullish outlook may change if Bitcoin's price nears $70,000 as predicted.
Source: beincrypto.com ↗
