Bitcoin Dominance Hits 3-Year High: Ki Young Ju’s Predictions

Analysts emphasize the importance of Bitcoin’s dominance in forecasting trends for altcoins. When Bitcoin’s price holds steady but its dominance decreases, it often signals a movement of funds into altcoins, potentially leading to an “altcoin season.” 

However, if both Bitcoin’s price and dominance decline together, it may indicate a broader market correction rather than a rise in altcoins. 

Is Altcoin Season on the Horizon? 

Markus Thielen from 10X Research noted that Bitcoin’s price typically stabilizes in August. If Bitcoin’s price remains stable while its dominance drops, it could set the stage for altcoins to gain traction. 

Ki Young Ju, founder of CryptoQuant, pointed out that increased activity from crypto whales could be a sign of an upcoming altcoin rally. He explained that limit orders, often used by institutions to avoid large price movements, create ‘quote volume.’ His data shows significant accumulation in altcoins like Solana (SOL), Cosmos (ATOM), and Polygon (MATIC). 

This positive outlook is supported by recent developments in crypto financial products. Analyst Crypto Vikings believes the current market conditions are favorable for an altcoin surge. 

Adding to the optimism, trader Mags highlighted that altcoins have only risen by 58% after breaking out of a 525-day accumulation phase. He expects the altcoin rally to continue after a brief consolidation period. 

On the other hand, Brian Quinlivan, lead analyst at Santiment, expressed caution. He noted a lack of excitement for an altcoin season due to recent price declines.