While Bitcoin (BTC) and some popular altcoins have been moving at a minimal level in recent days, Solana attracts attention with its rise.
At this point, Solana (SOL) has surged over 3% in the last 24 hours, passing $170 and leading the altcoin market with a 14% increase for the week.
As Solana continues its rise, Bitcoin market dominance has also risen above 57%, the highest level since April 2021. It was stated that memecoins were also behind this rise of Solana.
While a high dominance rate indicates that Bitcoin is leading the market, it also means that investors are choosing Bitcoin over altcoins.
In contrast, a decrease in BTC dominance could signal investors shifting to altcoins, potentially signaling the start of an altcoin season.
Evaluating the recent state of BTC and its rise in dominance, FxPro senior analyst Alex Kuptsikevich warned that the Bitcoin price could fall.
Speaking to Coindesk, Alex Kuptsikevich stated that BTC2 is close to a critical support level, saying:
“Ethereum continues to lose market share to Bitcoin and other altcoins. As a result, BTC’s market dominance has increased to 57.3%, the highest since April 2021.
But don’t let the rise in dominance fool you. This increase doesn’t necessarily mean a bullish trend for Bitcoin, which has fallen below $67,000, losing 1% in the last day and nearly 4% from its October 21 peak.
“The price is currently close to a local support level of $66.8k. A break of this support would open the way for a deeper correction to $65.5k, which is close to the 61.8% retracement level from the recent rally and late September peak.”
*This is not investment advice.