The USDT dominance index (USDT.D) at 8.05% is currently trading in a technically sensitive area and carries a risky nature.
For cryptocurrencies to catch their breath and enter a comfortable upward trend, it is necessary for the index to fall below 8.00%, and it is better for it to stabilize for a while within the range of 7.96% - 7.80% (accumulation phase).
🔻 In case of a downward break of these levels: The transition to a Risk-On situation will accelerate, and the momentum on altcoins will increase.
🔺 However, in case of a failure and an upward break: Flows towards liquidity (USDT) or short positions will continue, which means negative pressure on the market.
Key points:
• Stabilizing above 8.10% reflects increasing negative pressure, which may result in further declines in BTC and ETH.
• A drop below 7.98% creates a positive environment and gives the market a sense of relief.
Currently, the consolidation around 8.06% maintains uncertainty, so we are closely monitoring any possible breakout, especially during the 19:00 - 23:00 sessions.
Bitcoin is now down approximately 46% from its peak, confirming that the market has entered a deep bearish phase. Price is currently testing the 1.25× Realized Price band, a historically critical zone that separates normal corrections from full capitulation phases.
This level has repeatedly acted as a decision point in past cycles: Holding above it often leads to stabilization and recovery
Losing it typically signals deeper downside and panic-driven selling The coming period is crucial, as Bitcoin’s reaction here will define the next macro move 📊