Bitcoin Dominance Crashing – Early Signs of Money Rotation Into Altcoins Signal Potential Mini Altseason in January 2026
The post Bitcoin Dominance Crashing – Early Signs of Money Rotation Into Altcoins Signal Potential Mini Altseason in January 2026 appeared on BitcoinEthereumNews.com.
Bitcoin’s market dominance is exhibiting signs of technical vulnerability, potentially paving the way for the long-anticipated shift towards alternative cryptocurrencies. Following an extended period of Bitcoin staying steady at approximately 59% market share, technical analysts are uncovering patterns that have historically signaled a surge in altcoin performance. Technical Signals Flash Warning on Bitcoin Dominance Recent chart analysis Bitcoin dominance is close to breaking to the point of absolute resistance levels, with crypto analyst Dr. Cat pointing to a triple bearish set up that might catalyze a short-term decline in the market share of BTC. The analyst indicates January 5th as a determined date in which Bitcoin resistance could be seen at a shift from above $89,000 to $96,000, and that could be the date that would see Bitcoin’s price appreciation up and its dominance down at the same time. The dominance of Bitcoin in the market is currently reflected, which peaks at around 59%, while the Altcoin Season Index is around 37 out of 100. This extreme disparity shows that capital is still very heavily concentrated in Bitcoin with almost 90% of the top altcoins far below their all-time highs. However, the confluence of the technical indicators does indicate this dominance pattern may be reaching an inflection point. Market Sentiment and Institutional Positioning The market sentiment metrics show that investors are cautious, and this perception usually happens before major changes can be expected. The Crypto Fear & Greed Index’s latest reading indicates an investor fear level that hovers around 28, which means it is barely just at the edge of the “fear” level. This shows there are a lot of investors concerned, and a contrarian approach can come to their aid, since selling pressure usually disappears over time. Institutional flows have played a crucial role in making Bitcoin dominate in…
Filed under: News - @ January 3, 2026 11:05 pm