Bitcoin’s market share has reached its highest level since April 2021, continuing to grow amid a somewhat sluggish altcoin market. As of this writing, Bitcoin’s dominance has touched 58.82%, while its price hit a 10-week high of $68,424.

Increased Bitcoin dominance is generally not a positive sign for altcoins, as Bitcoin is up 3.5% on the day while altcoins are mostly flat or down.

Will this dominance last? Do copycats stand no chance?

This dominance will soon fade, opening the door for altcoins to grow.

Bitcoin dominance could peak at 60%. The current cycle’s dominance has peaked, and Bitcoin “needs to break out” to advance further.

Bitcoin has largely moved sideways since hitting an all-time high of $73,738 in March. Currently, the price of Bitcoin is approaching the key psychological level of $69,000, a 2021 high that has remained in place for nearly three years.

Institutional investors are still showing interest in Bitcoin. On October 15, 11 U.S. Bitcoin ETFs recorded a net inflow of $371 million. The total inflow of funds to these products in the past three trading days exceeded $1.1 billion.

If Bitcoin fails to break through 6.8, there is still a possibility of a strong pullback

Only 8.5% of Bitcoin investors are still losing money, accounting for 91.5% of the profitable supply.

If Bitcoin continues to rise from current levels, more investors will take profits. A large number of profitable holders is often seen as a sign of an overheated market and usually occurs before or at the same time as a correction.

With this on-chain signal, Bitcoin price could drop in the coming days as investors choose to book profits.

Technically, BTC faces resistance at $68,000. When the price was rejected at this level on July 29, the price dropped 27% to $49,577, suggesting that the bears will continue to defend aggressively here again.

Bitcoin must now secure a daily close above this level to maintain bullish momentum.

Conversely, failure to flip the $68,000 support in the coming days could result in a price correction accompanied by long liquidation orders, dragging the price towards $61,000.

Data from CoinGlass shows that a wall of sell orders rose above the $68,000 area, reinforcing the importance of this resistance area.

Open interest is at an all-time high, which could trigger risk for leveraged positions and a price pullback. A pullback to wash out longs could be imminent. A drop in Bitcoin price followed by a drop in open interest could confirm the pullback is complete.

In this case, if BTC cannot achieve a breakthrough, Alts will be even less optimistic. Therefore, despite the continued rise of BTC.D, the BTC-based strategy still has configuration significance. On this basis, investing small-scale funds in some hot tracks (such as Meme) is a better combination.

The long-term interest rate cut process will gradually bring liquidity back to the risky market. The best investment strategy should be to remain rational and calm and avoid over-selling valuable assets.