The post Bitcoin dominance hits death cross – Its memecoins vs. altcoins now appeared on BitcoinEthereumNews.com.

Bitcoin dominance is a crucial gauge of where investors are funneling their money.  The emergence of a death cross after four years isn’t just a technical signal – it’s a clear warning. Despite Bitcoin [BTC] ending the first week of 2025 on a high, reclaiming $102K after two weeks of market downturn, its dominance has taken a small dip. This could signal that altcoins are starting to grab the spotlight, as investors eagerly rush to diversify. So, is a repeat of the 2021 cycle on the charts? Typically, when Bitcoin dominance slips, it’s often a strong sign that an altcoin season is about to kick off. And right now, that hypothesis is gaining weight. Over the past week, the market has turned green, with high-cap altcoins posting double-digit gains. While it’s still early to make bold predictions, the signs are there, and it’s a trend that’s definitely one to watch. Why? Four years ago, Bitcoin started Q1 with its dominance at 72%, but in less than four months, that fell below 40%, just as a death cross appeared on Bitcoin’s dominance chart.  In response, Ethereum [ETH] skyrocketed from $737 in January to $4,183 by May, a massive 467% jump. And get this: that’s four times the 107% jump Bitcoin made in the same period.  So, is history repeating itself? The market seems to be hinting at it. In mid-November, a death cross formed on Bitcoin’s dominance chart for the first time in four years.  Source: TradingView The result? BTC’s market share slipped from 60% to 54% in just two weeks. During that same time, Ethereum surged 30%, closing above $4K. But much has changed in the past four years. While a death cross often signals an altcoin rally, it doesn’t automatically mean Ethereum will lead the charge. The crypto landscape…

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Filed under: News - @ January 8, 2025 2:27 am