It appears that the crypto space is overwhelmed with the surging prices of most of the altcoins, mainly Shiba Inu. SHIB price is showcasing a monstrous rally of about 42% jump in the last 24 hours and more than 110% in the last 7 days. On the contrary, Bitcoin price is squeezing a bit bt hovering above $60K with a notable in its dominance.
The dominance which fell below 50% during the May crash is still struggling to recover. Moreover, the dominance rebounded each time it hit 40% or slightly below. Hence showcasing the crypto space that Bitcoin is much stronger despite the narrow trend. However, in recent times, with the spike in other altcoins, the dominance is witnessing a notable drop.
Currently, the BTC dominance has formed and broke a clear ‘Head & Shoulders’ pattern and plunged below the neckline. It has to be noted that the dominance had earlier formed a similar pattern somewhere in mid-January. Intersecting, one of the notable altseason initiated. During the altseason then, the dominance fell nearly 40% breaking the H&S pattern and also the BTC price was also slashed nearly 30%.
Considering the present scenario, the dominance is however is preparing itself to pull a leg down. And if the previous scenario repeats, then the dominance may dump drastically. As the reason, during the previous rally, the dominance fell from around 65% to as low as 40%. And if this time the fall initiates at 45%, then the lower levels may be historically unpredictable.
With such a lowered dominance, BTC price may also be impacted at the highest but negatively. Yet the Altcoins may also gear up to fly high to mark their new highs, probably before the end of 2021 to mark one of the successful Altseason ever.
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