BTC DOMINANCE
What influences Dominance?
Several factors influence this dominance. In times of uncertainty, such as economic crises or instability in traditional markets, investors tend to seek safety in Bitcoin, seen as a store of value, which increases its dominance. Furthermore, the entry of large institutional investors, who prefer Bitcoin for its liquidity and stability, tends to strengthen its position in the market.
The market's bullish and bearish cycles also have an influence: during bullish markets, altcoins gain popularity, which reduces Bitcoin's share. In bearish markets, investors tend to return to BTC, considered less volatile, which increases its dominance. In addition, events such as halving – which reduces the supply of new Bitcoins – and technological updates, such as Taproot, attract even more investors, consolidating Bitcoin's role in the market.
Bitcoin adoption is also impacted by external factors, such as regulations and news about the sector. In scenarios of unfavorable regulation, altcoins are more affected, while Bitcoin tends to maintain or even gain strength. In short, BTC.D reflects its role as a consolidated and lower-risk asset.
Tell me, are we facing a mere correction or has some trigger been activated and we are facing a fall in BTC dominance and will we finally have the desired altcoin season?
#dominancebtc #altsesaon