What is Bitcoin Dominance?

Bitcoin Dominance measures Bitcoin’s market capitalization as a percentage of the entire cryptocurrency market. It answers one key question: How much of the total crypto market cap is held in Bitcoin versus altcoins and stablecoins?

Bitcoin Dominance(%) = (Bitcoin market cap/Total Crypto Market cap)×100

The 4 Main Market Scenarios

Dominance alone doesn't tell the full story—you always have to look at BTC.D alongside Bitcoin's Price:

BTC Price ↑ + BTC.D ↑ (Bitcoin Season): Capital is flowing primarily into Bitcoin. Altcoins underperform as traders focus on BTC.

BTC Price ↑ + BTC.D ↓ (Altcoin Season): Bitcoin is stable or rising, but profits are rotating into altcoins, causing altcoins to outperform.

BTC Price ↓ + BTC.D ↑ (Fear / Flight to Quality): The entire market is dropping, but altcoins are falling faster than Bitcoin as traders seek relative safety in BTC.

BTC Price ↓ + BTC.D ↓ (Capital Exit): Money is actively exiting volatile crypto assets into stablecoins or fiat currency.

Summary Checklist
Rising BTC.D: Focus on Bitcoin; altcoins carry higher risk.

Falling BTC.D: Watch for altcoin opportunities and ecosystem rallies.

(Source: CoinMarketCap article)