Bitcoin Dominance Holds Altcoin Season At Bay, Analyst Says No Upside Until This Happens

The Bitcoin Dominance (BTC.D) is exerting pressure on the broader crypto market, making an altcoin season unlikely. Despite recent market volatility, Bitcoin Dominance remains elevated, signaling that capital is still concentrated in Bitcoin. This trend is preventing a meaningful breakout for altcoins and could persist unless there is a decisive shift in market structure. According to a recent technical analysis, Bitcoin's market cap dominance has reached 65.72%, with monthly and Relative Strength Index (RSI) readings above 70. The RSI on the monthly timeline stands at 73.19, and the weekly RSI is at 70.58, both in overbought territory. These levels indicate strong momentum and extended bullish conditions, showing that Bitcoin's command over the crypto market is still strong and growing. As long as Bitcoin Dominance holds these elevated RSI levels, altcoins will likely continue to underperform, delaying the altcoin season. Meaningful upside for altcoins will not begin until BTC.D starts to wane and RSI readings fall below 70, signaling a shift in sentiment and market strength. A crypto analyst suggests that the weekly and monthly BTC.D and RSI charts strongly indicate that expectations of an altcoin season this cycle remain premature. The analyst also notes that a Dragonfly Doji pattern has potentially formed on the Bitcoin Dominance chart, which could either represent a continuation of the current momentum or a temporary pause in market direction.