Bitcoin Dominance (BTC.D) has unexpectedly surged into a historically significant resistance range, currently sitting at approximately 64.7% in the High Time Frame (HTF). This sudden increase has caught the attention of traders and analysts alike, as various technical indicators suggest a potential shift that could signal the much-anticipated altcoin season for 2025.
Resistance Levels for Bitcoin Dominance
Over the past three years, Bitcoin Dominance has progressively increased, highlighting the leading cryptocurrency’s strong presence in the market. Analyst Gert van Lagen has pointed out this unexpected rise in BTC.D.
Through a technical analysis chart, he observed several bearish indicators that resemble those from the 2021 market, which led to a significant capital shift from Bitcoin to altcoins.
Lagen noted that Bitcoin Dominance has reached a crucial HTF resistance range of 64%-76%. The current chart reveals a rising wedge pattern, signaling market exhaustion before a possible trend reversal. This wedge structure parallels previous cycles, including the 2021 peak.
Further complicating matters, the Relative Strength Index (RSI) shows a consistent bearish divergence. Although Bitcoin Dominance rises, RSI fails to follow suit, suggesting diminishing momentum. A similar situation occurred in 2021 when pronounced bearish divergence preceded a downturn for BTC.D and initiated an altcoin season.
Historical patterns indicate that we might be nearing another key inflection point. Echoing past cycles, Lagen suggests that the peak in Bitcoin Dominance may not be confirmed until a breakdown of the current uptrend structure occurs, potentially redirecting focus towards altcoins.
Moreover, analyst Ijaz Awan recently mentioned on X that BTC.D is approaching a major resistance zone between 71.38% and 73.06%. This zone has historically acted as a pivotal turning point, marking tops in 2017, 2019, and 2021. As Bitcoin Dominance nears these historical highs, Awan anticipates the potential onset of an altcoin season.
Are We on the Verge of an Altcoin Season?
In his final analysis, Lagen confidently suggested that an altcoin season is on the horizon. Other leading analysts share this sentiment, viewing Bitcoin’s Dominance as a critical indicator of the upcoming altcoin season.
Karman Asghar, a crypto analyst and trader, agreed that a new altcoin season seems imminent in 2025, as familiar warning signs emerge on the Bitcoin Dominance chart. He presented two side-by-side charts that compared the BTC.D patterns of 2021 and 2025, both revealing the formation of a double top along with a clear bearish RSI divergence.
While the bearish RSI divergence isn’t a definitive signal, its repeated occurrence, coupled with historical trends, supports the idea that the market may be ready for another significant altcoin season.
