Why Is Bitcoin Dominance Important in Trading?

Aayushi Jain

Historically, Bitcoin dominance has stayed above 60%, guiding traders on market behavior and future strategies.

In bull markets, Bitcoin dominance falls as altcoins outperform, prompting traders to invest more in them.

Rising Bitcoin dominance during bear markets signals safer investments, urging traders to focus on Bitcoin.

Bitcoin dominance helps understand market phases—high dominance indicates corrections, while low shows altcoin growth.

Low Bitcoin dominance usually boosts altcoin performance, with increased interest and price surges in smaller coins.

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