Bitcoin Set to Outperform Altcoins as Dominance Increases, Analyst Predicts

For the foreseeable future, prominent cryptocurrency analyst Benjamin Cowen predicts that Bitcoin (BTC) will continue to beat altcoins. During a recent strategy session, Cowen analyzed Ethereum’s Bitcoin pair (ETH/BTC), which is often seen as a strong indicator of altcoin performance.

Bitcoin Dominance on the Rise

Cowen noted that although ETH/BTC appears to be bottoming out, Bitcoin’s dominance (BTC.D)—the ratio of Bitcoin’s market cap relative to all digital assets—is expected to climb even higher. He predicts that BTC.D could reach 60%, signaling a continued downturn for many altcoins in comparison to Bitcoin. Currently, Bitcoin dominance sits around 58%.

“I do think dominance is going to go to 60% in Q4,” Cowen remarked, adding that this will likely result in many altcoins capitulating against Bitcoin. He further explained that whether Bitcoin dominance increases during a BTC rally or a market-wide drop, the overall effect on altcoin pairs will be negative, similar to past market cycles.

Discussing Bitcoin’s price movement, Cowen highlighted the $63,000 to $64,000 range as a crucial area of resistance. This range, which coincides with the 200-day moving average, will determine whether Bitcoin can sustain a longer-term rally.

“If Bitcoin can get back through that and put in a higher high again, it definitely raises the odds of Bitcoin continuing to go up in Q4,” he stated. However, if Bitcoin fails to break through this resistance, Cowen believes it could lead to a selloff similar to what was seen after previous rate cuts in past cycles.

Currently, Bitcoin is trading at $63,007, up 1.61% for the day.