Why you should avoid trading Alts when BTC Dominance is High

28 Jun 2023 · 1 min

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In this market commentary, the host emphasizes the importance of monitoring Bitcoin dominance before considering altcoin positions. A large chart shows Bitcoin dominance rising, indicating that investor attention and capital are flowing into Bitcoin rather than altcoins. The host notes that the dominance metric attempted to revert toward its mean or lower range but failed, suggesting a strong upward trend that is likely to continue. Consequently, altcoin investors are warned that trading altcoins during periods of high Bitcoin dominance means dealing with weaker assets, and they should exercise caution or avoid altcoin exposure altogether.

Bitcoin dominance. This is a huge, huge, huge chart that you need to look at before you even start looking at altcoins. Because when Bitcoin dominance is high, it means that as this thing is going up, it means more people are putting their attention on Bitcoin rather than altcoins. So if you are an altcoin investor or trader right now, you are trading an asset that is weak. So what is the situation with Bitcoin dominance? The dominance actually tried to revert back into the mean or even back to the range low, but clearly you see that didn't work and it's still going higher. And there is good reason to believe that this thing is still going to continue higher.