Altcoins on the rise: Bitcoin dominance is falling, fresh capital is flowing!

Altcoins on the rise: Bitcoin dominance is falling, fresh capital is flowing!

As of July 12, 2025, the cryptocurrency market is in a dynamic state while Bitcoin continues to hold a dominant position. Crypto analyst Matthew Hyland emphasizes that altcoins are currently showing potential as they are rising without taking market share from Bitcoin. Bitcoin dominance is currently at 64.46%, down 1.53% over the last week. Bitcoin itself hit a record high of over $118,000 on Friday.

Analysts use Bitcoin dominance as a benchmark to assess altcoin seasons. A decline in dominance typically indicates potential gains in altcoins. The shift in market structure could indicate fresh capital being invested in the altcoin space. CoinMarketCap's Altcoin Season Index currently shows a value of 29 out of 100 points, which indicates that Bitcoin is currently preferred.

Rising altcoin prices and significant trends

Over the past seven days, several altcoins posted notable price increases. MemeCore (M) rose an impressive 1,263%, while Mog Coin (MOG) gained 75.01%. Stellar (XLM) and Ethereum (ETH) recorded increases of 67.43% and 17.68%, respectively. For Ethereum, the ETH/BTC ratio shows an increase of 8.39%. These developments could be an indication of an altcoin season fueled by fresh capital, which is supported by Santiment analysis.

Unfortunately, there is also a downside. Many altcoins are currently trading between 20% and 50% below their all-time highs from December, and small caps in particular are struggling with economic uncertainty. Additionally, Rekt Capital reports that the development of Bitcoin dominance could be part of a larger market cycle. A retest of the 64% level could confirm a further rise to the critical 71% level, which was often considered a turning point for altcoins in previous cycles.

Market forecasts and external influencing factors

Analysts use technical models to predict possible future movements of the altcoin market. The market appears to be significantly influenced by external conditions. For a sustainable altcoin rally, it is crucial that at least 50 of 75 coins analyzed outperform Bitcoin. Currently, Ethereum dominance has fallen to 7.5%, compared to over 22% in 2022. This suggests that without fundamental support, the likelihood of a true altcoin season remains questionable.

Market development is therefore at a critical point. Bitcoin should stay above the psychological support around $110,000 to give traders the opportunity to shift profits into altcoins. The coming days and weeks promise to be exciting as investors closely monitor further developments.