Bitcoin Dominance Dips to 58.8% Amid Rising Altcoin Index Signals
Market Shift: Analyzing Bitcoin’s Declining Share in Crypto Landscape
Bitcoin’s dominance in the total cryptocurrency market capitalisation has fallen to 58.8% as of November 2025, down from 61.4% earlier in the month. This shift coincides with the Altcoin Season Index reaching 47—its highest level since mid-October—indicating potential capital rotation toward alternative cryptocurrencies, though broader market declines persist.
Key Metrics and Recent Trends
The Bitcoin Dominance metric, which measures Bitcoin’s proportion of the overall crypto market cap, serves as a critical indicator of investor sentiment and fund flows. In November 2025, this figure dropped notably, reflecting Bitcoin’s price slipping below $90,000 while altcoins experienced relatively slower losses.
- Dominance Decline: From 61.4% to 58.8%, suggesting Bitcoin is underperforming compared to the altcoin segment.
- Altcoin Season Index: Climbed steadily to 47, a level not seen in over a month, though it remains below the 75 threshold typically associated with a full altcoin season.
- Market Context: Both Bitcoin and altcoins have declined overall, but Bitcoin’s faster decline has amplified the dominance reduction.
Analyst Perspectives on Long-Term Implications
Market observers have highlighted technical breakdowns in Bitcoin Dominance charts, interpreting them as bearish signals for Bitcoin’s relative strength. One analyst, ChartingGuy, observed a potential head-and-shoulders pattern on the weekly chart, suggesting two scenarios:
“BTC.D is the main thing giving me hope. It’s finally flipping bearish again on the weekly.”
In this view, either Bitcoin could experience sharper declines than altcoins, or a market rebound might favor altcoins. The head-and-shoulders formation leans toward the former, potentially driving dominance lower. Another expert, Gert van Lagen, emphasized a multi-year uptrend breakdown spanning over three years, with a recent retest confirming the shift:
“Bitcoin Dominance has broken down from a 3+ year uptrend, retested that structure at ⭐, and is now breaking lower again on the LTFs. When BTC catches a bounce, altcoins are positioned to significantly outperform.”
Forecasts from additional watchers project dominance could test 54%, a level last observed in December 2024. This would represent a 4.8 percentage point further drop from current levels, potentially unlocking $100 billion or more in capital for altcoins based on prevailing market caps (uncertainty flagged: exact capital flows depend on total market size, which fluctuates).
- Bullish for Altcoins?: A sustained decline might boost altcoin performance by 20-50% relative to Bitcoin in recovery phases, per historical analogs from 2021 cycles.
- Risks Involved: If the dip reflects panic selling rather than strategic rotation, it could exacerbate a bear market, with altcoins facing 80% drawdowns as seen in prior corrections.
- Market Trends: Total crypto market cap has hovered around $2 trillion in recent weeks, with Bitcoin’s share erosion correlating to increased trading volume in Ethereum and layer-2 tokens.