Analyst Says Altcoins Will Pump Hard if Bitcoin Drops Below This Level

A recent tweet by crypto update platform Ash Crypto has highlighted the current technical state of Bitcoin’s dominance in the overall cryptocurrency market.

The attached chart shows Bitcoin’s market cap dominance hovering at approximately 65.08%, down slightly by 0.18%. The pattern includes lower highs and horizontal support along the 65% level, forming a descending triangle that has historically indicated a higher probability of a breakdown when it appears at the top of an uptrend.

The dominance chart covers a 4-hour timeframe and illustrates a consolidation structure that appears to be nearing its critical breakout or breakdown point. A break below the horizontal support trendline may signal a shift in market sentiment from Bitcoin toward altcoins.

@media only screen and (min-width: 0px) and (min-height: 0px) { div[id^="wrapper-sevio-6a57f7be-8f6e-4deb-ae2c-5477f86653a5"]{width:320px;height:100px;} } @media only screen and (min-width: 728px) and (min-height: 0px) { div[id^="wrapper-sevio-6a57f7be-8f6e-4deb-ae2c-5477f86653a5"]{width:728px;height:90px;} }

Community Analysts Highlight Technical Breakdown and Altcoin Implications

Altseason might be closer than most think.” Her view aligns with the broader market interpretation that declining Bitcoin dominance typically corresponds with a rise in the relative value of altcoins, as capital shifts away from Bitcoin and into other digital assets.

Market Implications of a Drop Below 65%

The 65% level in Bitcoin market dominance has historically acted as a strong support zone. A decisive drop below this threshold would likely signal a redistribution of market value away from Bitcoin, providing upward momentum to altcoins. Such a shift often coincides with increased volatility in mid-cap and low-cap cryptocurrencies, driven by investor speculation and capital rotation strategies.

If Bitcoin dominance falls below the 65% mark, it could serve as a technical confirmation of the start of a new phase of altcoin performance. Traders and investors tracking market rotation typically interpret declining BTC dominance as a potential precursor to an altseason, a market period where altcoins significantly outperform Bitcoin in terms of price gains.

Ash Crypto’s analysis highlights a bearish pattern forming in Bitcoin dominance, with multiple technical signals suggesting an impending breakdown below the key 65% level. Observers like Isabella Moreira and Reijer support this outlook with their commentary, reinforcing the idea that the altcoin market may soon gain momentum.

As the descending triangle nears its apex, market participants will be closely watching the behavior of Bitcoin dominance around this critical support to assess whether altcoins will enter a sustained period of growth.

Disclaimer*: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are advised to conduct thorough research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.*