Hello, Traders!
After its recent rise to 64%, BTC.D started to decline slowly and currently dropped below 61%.
In order to resume alt season, BTC.D needs to drop at least below 57% and hold below that mark for a prolonged period of time.
Ideally, it should break below 54% to make a lower low and confirm a sustained downward trend.
Historically, when BTC.D enters a clear downtrend, liquidity flows into altcoins, leading to significant rallies across the board.
I don’t think that even if the alt season really takes off, we will see BTC.D much below 48%—perhaps 45%, but not lower.
At that level, the market typically starts rotating back into BTC, capping further dominance declines.
However, if BTC stagnates while liquidity continues flowing into alts, a deeper drop isn’t entirely out of the question.
One of the potential catalysts for a BTC.D decline and the start of the alt season is Ethereum’s upcoming Pectra upgrade.
Historically, ETH has shown strong performance ahead of major network upgrades, often doubling in price in anticipation.
If history repeats itself, we could see increased demand for ETH, driving capital into the broader altcoin market.
The Pectra upgrade is scheduled for April 8, meaning we might see altcoins gaining momentum in the next couple of weeks.
If BTC remains stable and ETH starts outpacing it, this could create the perfect conditions for the much-anticipated alt season.
Keep an eye on ETH/BTC as well—it could serve as an early indicator of the shift. 🚀
Please don’t forget to boost this idea and leave your comments below.