As the crypto market eagerly awaits the possibility of an altcoin season, a new technical analysis of Bitcoin Dominance (BTC.D) reveals striking similarities between the 2021 and 2025 market cycles. The analysis, conducted by crypto analyst Luca on X (formerly Twitter), questions whether history is about to repeat itself and if altcoins are on the brink of another bull run.
Luca’s chart comparison of BTC.D market cap in 2021 and 2025 shows an eerily similar pattern. In both cycles, BTC.D deviated from a key resistance level, leading to a mass sell-off in altcoins. However, in 2021, after the deviation, Bitcoin dominance fell sharply to a green zone between 58% and 60%, which corresponded with a major rally that sparked the altcoin season.
In the 2025 BTC.D chart, Luca highlights the next green zone around 54.56%. If historical trends repeat, a drop to this level could potentially trigger a similar rally and kickstart the anticipated altcoin season. The fate of altcoins in this bull market now hinges on BTC.D’s next move.
However, not all analysts are convinced that an altcoin season is imminent. In another X post, crypto analyst Brucer argues that the 2025 altcoin season may not occur, citing three primary reasons: the uniqueness of each market cycle, altcoins struggling to regain previous highs, and the need for significant macroeconomic changes.
As the market closely watches Bitcoin’s dominance, the question remains: will history repeat itself, or will the 2025 cycle chart its own course? The answer could determine whether investors should prepare for an altcoin frenzy or temper their expectations.
Don’t miss out on the potential altcoin season. Trade on Defx and take advantage of up to 100x leverage on perpetual contracts. Start Trading Now
Tags: Bitcoin dominance, altcoin season, technical analysis, market cycles, crypto trading
Source: https://www.newsbtc.com/news/bitcoin/bitcoin-dominance-2021-vs-2025/