Bitcoin dominance rebounds to 59%, eyeing a key 59.7% resistance; a breakout may target 60.8%-61.8%, pressuring altcoins.
Support zones at 57.7%-58.3% remain crucial; losing them could spark altcoin gains as BTC dominance weakens.
BTC dominance's steady climb above 200-day MA signals bullish sentiment, aligning with Bitcoin’s rising market strength.
Bitcoin dominance (BTC.D) recently rebounded from the 57.7%-58.3% support zone, signaling a bullish recovery. The dominance climbed steadily and currently stands at 59.06%, reflecting a minor intraday decline of 0.10% (-0.17%). This movement follows a period of consolidation and aligns with Bitcoin's increasing market preference during uncertainties.
Resistance Levels and Bullish Outlook
BTC.D faces resistance near the 59.7% supply zone, a key barrier for further upward momentum. Analyst Crypto Candy notes that a breakout above this level could push dominance toward the next resistance zones at 60.8% and 61.8%. These levels mark critical targets as long as support in the 57.7%-58.3% zone holds firm.
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The dominance's gradual advance indicates steady buying pressure despite resistance. The upward trajectory aligns with Bitcoin's strength relative to altcoins, especially amid recent market corrections. Moreover, BTC.D reclaimed both its 50-day and 200-day moving averages, reinforcing bullish sentiment.
Support Zones and Altcoin Impact
On the downside, BTC.D finds support at 58.28%, 58.08%, and 57.81%. A deeper retracement could target 57.72%, a stronger support zone. If dominance loses this support, altcoins may experience relief and gain momentum. Conversely, BTC.D nearing the 60.8%-61.8% resistance zone could suppress altcoin performance, given Bitcoin’s growing dominance in the market.
The current candlestick patterns near 59% indicate consolidation, reflecting indecision among traders. However, the upward arrow on the chart suggests a potential continuation of the bullish movement after testing lower support zones.
Broader Market Implications
The previous downtrend saw BTC.D decline sharply, breaking key support levels. However, the ongoing recovery is a shift in market dynamics favoring Bitcoin. This trend reflects reduced volatility and steady buying pressure, with the 200-day moving average offering dynamic support. Additionally, Crypto Candy anticipates potential altcoin movement when BTC.D retraces from the 60.8%-61.8% zone or loses current support.
