Market Update: Bitcoin Dominance is losing grip
Be aware cryptocurrency investments are volatile and you need to have patience!
The Bitcoin Dominance is losing grip. If this happens it can signal several things:
Bitcoin is losing power to altcoins
People sell their bitcoins to buy altcoins with the chance to gain more in a short period of time (like we saw in December).
New Money is entering
When market grows at a higher speed then the growth of Bitcoin, it means Bitcoin dominance is losing grip. This always means altcoins are taking the lead. And this means (90% of the time) that new money is entering the market. So, the current market situation is a good signal that new people start investing in the market.
Besides that, we see a lot of ''random pumps''. Projects pump randomly without good reasons. This is also a signal that new money enter the market.
Based on history and market behavior, BTC dominance can fall lower. If, people make some profit they will sell their alts for bitcoin. We will see an increase in Bitcoin price and that is the moment ''huge'' new money will enter the market, because mainstream media will discuss the Bitcoin price everytime it rises.