Bitcoin has had a great start to 2023 and the rest of the market is struggling to keep up with the mother of all cryptocurrencies. Bitcoin’s dominance has therefore increased by 15 percent since the beginning of this year. Usually, altcoins do well when Bitcoin does well, but if dominance really increases, it could have a negative effect on the rest of the market.
Bitcoin eats up altcoins
Bitcoin’s growing dominance suggests that hopes for a strong period for altcoins were premature for now. However, it seems from the chart below that Bitcoin’s dominance is making a double top right now.
That could well mean that we have seen “the top of Bitcoin” against altcoins in this cycle. Traders always eagerly await the altcoin season. This year, that season will not take place for the time being. Bitcoin’s dominance increased by 15 percent to the current ~48 percent and also rose by 2.2 percent last week.
However, Doctor Profit warns his followers in the above tweet about another run up of Bitcoin. According to the doctor, Bitcoin’s dominance has closed above resistance in recent months and the digital currency may well be entering a new period of dominance.
Still greed
Prices are having a hard time at the moment, but despite that, greed is still in the market. We know that thanks to the Bitcoin Fear and Greed Index, which you have probably heard of. This is an index that, based on a handful of factors, determines whether the sentiment in the market revolves around fear or greed.
At the moment, according to the index, there is still greed and the index gives a score of 63/100. Satoshi Flipper says in the tweet below that the “top signal” according to him is that people are already diving into memecoins right now.
Everyone hopes to become a millionaire in this market within 5 minutes and that is usually a sign that something is wrong. This is also clearly reflected in the price, which is starting to struggle and is struggling to maintain its current level.