Today we saw a lot of bullish momentum come into the crypto market with various altcoins like Chainlink, Cardano, and Dogecoin making double-digit gains in the market today. They had 14.21%, 25.92%, and 44.39% respectively in just one day of trading.
The chart below shows the massive bull run witnessed in Chainlink one of the highest performing altcoins.
The coin as gained about 30% since it broke through the rising triangle it was trading in, and I believe the price of the Chainlink altcoin might continue to shoot higher to around 0.00075171 in the coming days.
Bitcoin was also not left out of this crypto bullish run as the Bitcoin price bounced off the inverse head and shoulder neckline support I talked about in yesterday’s Bitcoin analysis “Inverse Head and Shoulder Pattern: First Profit Target Met. What Next?” and moved higher.
The price is currently retesting the falling wedge resistance, and a break of this resistance will see the Bitcoin price surging towards the $9,700 price level, or even higher in the coming days.
However, this bullish run is coming at a time when the Bitcoin crypto dominance is dropping sharply.
Analyzing The Falling Bitcoin Dominance
According to CoinMarketCap, the current Bitcoin dominance is at 62.7%, sliding lower from its previous highs of 64 to 65%.
This development is not good news for Bitcoin bulls as a continuous decline in the Bitcoin crypto dominance simply means that more and more crypto investors and capital is flowing out of Bitcoin and into altcoins.
This could really affect the bullish momentum of Bitcoin and lead to the price trading sideways or even crashing back down in the coming weeks as volatility dries up from the market.
Should You Be Worried? Are We In Altcoin Season?
The answer to both those questions is No.
For me to confirm that we are in an altcoin season, I must see a larger pullback in price on the Bitcoin dominance chart.
The important support level I am watching is 61.71 region. A break and close below that support region could see the Bitcoin dominance crashing much lower in the coming days.
But until that happens, I believe we are no in an altcoin season and the price surge we are experiencing on the altcoins is just a side effect of renewed bullish momentum coming back into Bitcoin after weeks of sideways movement.
I will keep an eye on this development and update you about it on my future Bitcoin analysis.
To gain more information on how to partake in this coming Bitcoin Bull run and trade this cryptocurrency, you can learn how to trade bitcoin for beginners. You can also check my top list of best crypto exchanges to trade with.