BTC Dominance
What it shows
The percentage share of Bitcoin, Ethereum and the remaining alts in total market cap, shown as an area chart. It tells where capital concentrates and whether BTC or alts lead the market.
How to read it
Read dominance as a map of capital flow: rising BTC dominance in uncertainty is a flight to safety, while its decline in a strong market historically favored alts. Pair it with the trend of total market cap.
Parameters
- BTC dominance
- What percentage of the whole market Bitcoin alone represents.
- Positive reading: Falls during a bull market, which historically means capital rotates into alts (alt season).
- Negative reading: Spikes in stress: capital flees to BTC, which historically puts pressure on alts.
- Neutral reading: Stable (a balance of power between BTC and the rest of the market).
Example
BTC dominance holds around 60% in a flat market, which is a balance of power. When it drops from 60% to 50% in a bull market, capital historically rotated into alts; a sharp dominance spike in panic historically coincided with alt sell-offs.