How to predict the arrival of the "altcoin boom"?

In fact, we have a key "barometer" that can help us judge the market trends of altcoins, which is the "market share of Bitcoin".

When Bitcoin's market share rises, it means that a large amount of capital is flowing into the Bitcoin market, just like Bitcoin is "absorbing" funds from other markets. At this time, other altcoins may perform poorly and enter a period of stagnation.

However, when Bitcoin's market share declines, it usually indicates that capital is flowing out of the Bitcoin market and may be seeking new investment opportunities, such as flowing into those undervalued altcoins. At this time, the altcoin market is likely to welcome a bull market.

Let’s take a look at historical data: In March 2017, Bitcoin's market share plummeted from 80% to 30%, and then the altcoin market ushered in a booming bull market. The same situation occurred in January 2021, when Bitcoin's market share fell from 70% to 40%, and the altcoin market once again welcomed an explosive opportunity.

Now, the time has come to December 2024, and Bitcoin's market share has fallen to 56%, a value that is already below its previous upward trajectory.

Remember the last time Bitcoin's market share experienced a sharp decline was in January 2021, after which the altcoin market began to emerge, advancing rapidly. Although there was a brief recovery in the Bitcoin market from June 2023 to November 2024, the overall performance of the altcoin market was relatively dull, making investors feel anxious and express their frustration!

However, the current situation seems to be changing. Bitcoin's market share has dropped below its previous upward trajectory, which may indicate that a new round of altcoin boom is about to arrive!