Why Bitcoin Is Missing Out on Today’s Crypto Rally

The post Why Bitcoin Is Missing Out on Today’s Crypto Rally appeared first on Coinpedia Fintech News

While Bitcoin remains stuck below a key resistance level, much of the crypto market, especially altcoins like Ethereum and XRP, is showing strong bullish signs. So, why is the broader crypto market pumping while Bitcoin is cooling off?

The answer lies in Bitcoin dominance, which is seeing a sharp drop. Bitcoin dominance refers to how much of the total crypto market value is held in Bitcoin. When this dominance falls, it usually means that investors are moving money from Bitcoin into altcoins. This shift is a sign that “altcoin season” has begun, where assets like Ethereum, Solana, and XRP often outperform Bitcoin.

In fact, Ethereum has surged by nearly 3.75% recently, even as Bitcoin’s share of the market dropped by about 0.62%. The total value of the altcoin market is still below its all-time high, which shows there’s space for further growth. Also, the total crypto market cap, excluding Bitcoin and Ethereum, is showing a bullish pattern similar to what the market saw in 2017 before altcoins exploded in price.

What About Bitcoin? Still Bullish, But Facing Short-Term Resistance

In every past cycle, Bitcoin is usually the first to move. Once it makes a strong rally, the next big move comes from Ethereum. After that, large altcoins begin to rise, followed by smaller and newer altcoins. This pattern has repeated itself over the years, and so far, the current market seems to be following the same path.

However, Bitcoin’s overall long-term trend remains bullish, with a cup-and-handle pattern hinting at a move toward $153,000. However, in the short term, it’s facing tough resistance between $120,000 and $123,000. Until BTC breaks above that zone, it may continue trading sideways.

Short-term indicators like the RSI (Relative Strength Index) show that Bitcoin has cooled down from its overbought levels, which means there’s room for a fresh move up. But before that happens, Bitcoin might dip slightly to around $116,700, where there’s a lot of market liquidity, before possibly heading higher again.

El contenido al que estás accediendo se ofrece por terceros. A menos que se indique lo contrario, OKX no es autor de la información y no reclama ningún derecho de autor sobre los materiales. El contenido solo se proporciona con fines informativos y no representa las opiniones de OKX. No pretende ser un respaldo de ningún tipo y no debe ser considerado como un consejo de inversión o una solicitud para comprar o vender activos digitales. En la medida en que la IA generativa se utiliza para proporcionar resúmenes u otra información, dicho contenido generado por IA puede ser inexacto o incoherente. Lee el artículo enlazado para más detalles e información. OKX no es responsable del contenido alojado en sitios de terceros. Los holdings de activos digitales, incluidos stablecoins y NFT, suponen un alto nivel de riesgo y pueden fluctuar mucho. Debes considerar cuidadosamente si el trading o holding de activos digitales es adecuado para ti según tu situación financiera.