Nov 12, 2025
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Bitcoin Dominance Breaks Below 50 EMA, Could Drop Under 40%
Bitcoin's dominance in the crypto market has been significant, maintaining above 50% throughout the year and recently nearing 60%. However, a recent development suggests potential changes:
- Bitcoin dominance has dropped below the 50-Day Exponential Moving Average (EMA) for the first time in almost a year.
- An attempt to reclaim the 50 EMA failed after a brief surge above 63% was reversed due to a market-wide crash on October 10.
- The dominance remaining below this critical level for a full month indicates a potential shift in market dynamics.
Implications for the Crypto Market
- Historically, a decline in Bitcoin dominance has signaled the start of an altcoin season.
- Analysts predict that if Bitcoin fails to reclaim the 50 EMA soon, its dominance could fall below 40%, potentially allowing altcoins to gain traction.
- The current Altcoin Season Index is low, suggesting that a drop in Bitcoin dominance might be necessary for altcoins to rise.
- If Bitcoin reclaims the 50 EMA, it may continue to lead, delaying any shift towards altcoins.
