BTC Dominance: Local Top Forming – Prepping for Major Rotation

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BTC Dominance: Local Top Forming – Prepping for Major RotationMarket Cap BTC Dominance, %CRYPTOCAP:BTC.DGoldfinch_songBTC Dominance (BTC.D) is hitting the major weekly resistance (red box, ~64–65%). Expectation is for a short-term rejection here, as BTC rotation into ETH and alts begins. A pullback toward the green support area (54–56%) is likely as ETH and altcoins start outperforming BTC. After the initial drop, anticipate a strong bounce in BTC.D as late BTC buyers rotate back in, typically mid-altseason. This bounce often provides the best opportunity for altcoin entries, historically marking a sweet spot for outperformance. Where the bounce ends (possibly around 56% or lower) will be a question for future analysis; for now, focus is on the rejection and initial drop. BTC dominance is testing a historically significant resistance zone after a prolonged uptrend. This level has previously marked local tops and initiated sharp reversals into altseason. The scenario is supported by rotation narratives—capital typically flows from BTC into ETH and alts as dominance peaks. A retracement to the green support zone is probable, after which a sharp bounce could trap late BTC buyers before another leg down. Watching the initial rejection and first bounce zone will help identify the next major altcoin opportunity.