Bitcoin Dominance Spike Above 60% Could Trigger Volatility for Altcoins, Says Analyst Benjamin Cowen

Crypto analyst Benjamin Cowen believes that Bitcoin's dominance in the cryptocurrency market could soon trigger volatility for altcoins.

Crypto analyst Benjamin Cowen has shared his thoughts on Bitcoin’s dominance in the cryptocurrency market, highlighting its potential impact on altcoins and the broader market.

In a recent post on X, Cowen pointed out Bitcoin’s current dominance level, speculating on a possible outcome and how it might affect the broader market.

Probably see a spike back above 60% #BTC dominance soon. Not saying it will hold 60% for long before going back below it.You could even argue that for #ALT / #BTC pairs to get a relief bounce, first dominance may need to get that spike above the 60% threshold. pic.twitter.com/OlrUihTzkE

At the time of Cowen’s post, Bitcoin’s dominance was 59.68%. Currently, that figure hasn’t changed much. Data from TradingView shows a slight decline to 59.61% in the relatively calm crypto market. Cowen suggests that 60% Bitcoin dominance could be the catalyst that sparks a shift in the crypto market narrative.

Related: Bitcoin Dominance Mirrors 2020/2021 Pattern: What Could This Mean?

In his post, Cowen clarified that Bitcoin’s dominance may not hold above 60% for long. However, it may need to test that region to ignite significant movement in the altcoins market. According to the crypto analyst, a Bitcoin dominance spike above 60% will trigger a relief bounce in ALT/BTC pairs, introducing expected volatility into the crypto market.

Related: Altcoins Surge as Bitcoin Dominance Dips: DeFi and AI Tokens Lead

It’s important to note that Bitcoin’s dominance has risen since the beginning of 2024. The metric bounced off a 56.6% low in the first week of January and has trended upward since. Historical data show that the current Bitcoin dominance value aligns with a December spike, which was followed by a decline as altcoins gained in value.

A repeat of this pattern could signal another altcoin surge. However, the timing could be crucial, given the current sentiment in the crypto industry following developments in the United States. Many in the crypto community expect a revision in US crypto regulation.

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