This chart is dedicated to the dominance of USDT (market capitalization dominance), which shows how the share of USDT in the cryptocurrency market changes. Let's analyze the specific characteristics of the chart:
1. Long-term trend line
- The red trend line moves from bottom to top, indicating that the dominance of USDT has been steadily increasing since 2018.
- Recent market action is occurring near this trend line. A breakout or a jump in the trend is crucial.
2. Green zone (support level):
— The green rectangle that I marked is the current support level.
- The range of 3.73% - 3.88% is an important area at the moment, and maintaining dominance at this level or declining may change market dynamics in the future.
3. Conclusion:
- If the dominance of USDT falls below this trend line, it can often be a positive signal for **altcoins** (this means that capital is flowing into other cryptocurrencies).
- But if there is a rebound above the trend line, it means that capital is returning to USDT as a safe asset.
