BTC dominance heading to new highs!

Good morning Crypto nation! Today we are going to talk again about the dominance of BTC and what it implies.

The dominance of BTC is an index that gives us a reference for the market share that BTC encompasses.

Why is it important? Because it indicates the flow of money, historically since ETH, stablecoins, and the rest of altcoins existed.

In simple terms, the crypto market cycle works like this:

BTC captures the bulk of new capital - profits are taken - the money flows to ETH - then to the rest of the altcoins.

The problem is that, while dominance rises, money stops flowing to the rest and even generates outflows from the "altcoin" sector to BTC. This causes drops and hinders the rise of altcoins.

The great news is that BTC has not reached 60% since 2021, the last massive bull market.

While it is not a guarantee that it will happen immediately, it warns us of what is coming:

Initially, we can expect poor performance from altcoins, aggressive drops as dominance increases and profits are taken, eventually leading to the golden growth cycle in the rest.

Enjoy the ride and do not despair, the future is promising but now we must fasten our seatbelts because curves are coming.

Citizen Crypto signing off! Have an excellent day.