- Bitcoin dominance has rejected the 65% resistance and is now moving closer to the 60% range.
- The MACD indicator shows readings of 2.42 percent and 2.89 percent, signaling weakening momentum ahead.
- Analysts track the 50MA as charts show Bitcoin dominance could slide further toward the 45 percent support.
Bitcoin dominance, the percentage share of Bitcoin in the overall cryptocurrency market, is showing signs of weakness after years of consolidation. A recent chart analysis indicates a potential breakdown toward 45%, raising questions about whether altcoins are positioned for a new rally.
A Symmetrical Triangle Break Suggests Lower Levels
For nearly a decade, Bitcoin dominance has moved inside a large symmetrical triangle, bounded by clear resistance and support levels. The upper boundary, near 65%, has repeatedly capped rallies, while the lower trendline near 40% has acted as a long-term floor.
Recent price action reveals a rejection from the descending resistance line, once again turning Bitcoin dominance lower. The chart shows the dominance currently near 60.92%, slightly above the moving average ribbon at 59.10%, but momentum has started to weaken. A red arrow drawn from current levels points toward a possible test of the 45% region, which aligns with the lower support of the structure.
This technical formation suggests that dominance may decline sharply if the breakdown materializes. Such a move could shift capital flows from Bitcoin into altcoins, echoing previous historical cycles.
MACD Confirms a Bearish Crossover
The Moving Average Convergence Divergence (MACD), a key momentum indicator, is flashing a notable bearish signal on the monthly timeframe. The chart highlights two critical moments of crossover. The first occurred in early 2021, coinciding with a sharp fall in Bitcoin dominance as capital poured into alternative tokens. The second crossover is now forming in 2025, with the orange line crossing above the blue, marked by a yellow highlight.
This recurring signal implies a repetition of past patterns, with dominance potentially facing sustained downward pressure. The MACD currently stands at 2.42% and 2.89% on the respective lines, suggesting momentum is tilting against Bitcoin’s relative strength in the market.
If history repeats, this technical alignment may precede another prolonged period of altcoin outperformance. Traders are closely watching whether Bitcoin dominance can hold above its long-term trendline or continue sliding toward multi-year lows.
The Role of the 50-Week Moving Average
The chart also places focus on the weekly 50-day moving average, labeled prominently as a key indicator for trend direction. Historically, this line has served as a dynamic level of support or resistance during major shifts in dominance. Current price action shows Bitcoin dominance slipping around this level, amplifying the bearish case.
Should dominance continue below the weekly 50MA, market analysts warn that confidence in Bitcoin’s relative market share may weaken. Previous breaks of this moving average in 2018 and 2021 led to sharp corrections in dominance, coinciding with significant capital rotations into altcoins.
The pivotal question is whether this technical breakdown represents a temporary fluctuation or the start of a deeper decline in Bitcoin’s market control. With support near 45% acting as the next critical level, the chart points to heightened volatility across digital assets.
