There are two scenarios:
Currently, there is a notable shift occurring in the cryptocurrency market, indicating that Bitcoin's dominance is expanding beyond its usual range. This trend is typically observed during bear markets or times of fear, and it is evident from the significant sell-off in alternative cryptocurrencies (alts) today. Consequently, this breakout in dominance can be attributed to market participants' fear-driven actions.
In my perspective, this development suggests that Bitcoin's dominance will likely continue to increase. As a result, alts, on average, are expected to lose value against Bitcoin in both upward and downward market trends.
However, there is a positive aspect to this situation as well. The growing dominance of Bitcoin provides alts with more space to flourish when the "true" altseason commences, which is anticipated to occur sometime in 2024.
Currently, there is a notable shift occurring in the cryptocurrency market, indicating that Bitcoin's dominance is expanding beyond its usual range. This trend is typically observed during bear markets or times of fear, and it is evident from the significant sell-off in alternative cryptocurrencies (alts) today. Consequently, this breakout in dominance can be attributed to market participants' fear-driven actions.
In my perspective, this development suggests that Bitcoin's dominance will likely continue to increase. As a result, alts, on average, are expected to lose value against Bitcoin in both upward and downward market trends.
However, there is a positive aspect to this situation as well. The growing dominance of Bitcoin provides alts with more space to flourish when the "true" altseason commences, which is anticipated to occur sometime in 2024.