Bitcoin Dominance Shrinks Below 50%, Altcoin Season On?
Coin trackers, on Apr 29, revealed that Bitcoin dominance, an indicator of the coin's strength versus altcoins, had dipped below 50 percent for the first time in over 30 months. It is at a time when ETH and BNB prices have been galloping higher. As BTC dominance took a hit, ETH/USD prices soared to a new all-time high above $2.7k.
Technically, Bitcoin dominance is a lagging indicator that can give traders a hint of what lies ahead, especially on the altcoins' side of the equation. It came when JP Morgan said ETH would eventually flip BTC. The fall points to a rejuvenation of altcoins spearheaded by Ethereum, BNB, Cardano, and IOTA. These projects are in various stages of development and adoption, with analysts expecting steep gains in the coming days.
Impact on the BTC Price:
Bearish. BTC/USD prices are flat-lining above $54k, indecisive judging from price action in the past few days. The lapse of BTC bulls opens the door for ETH prices propped by several fundamentals, including Eth2 and EIP-1559.
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