Bitcoin Dominance Chart is KEY 🗝️

What is the Bitcoin dominance index?
Binance BTCDOM Index is a cryptocurrency price index reflecting the market dominance performance of Bitcoin. The BTCDOM Index is a metric that traders can use to quickly get a sense of Bitcoin's value relative to that of the broader cryptocurrency market.

What does low Bitcoin dominance mean?
Indeed, if the dominance of BTC decreases, it means either : A relatively larger inflow of new capital into altcoins than into BTC. Or it represents a transfer of capital between BTC and altcoins, with participants taking their profits from BTC and injecting them into the altcoin market.

How is Bitcoin dominance calculated?
If we look at the summative market capitalizations of all the existing cryptocurrencies, then we can arrive at a total market cap valuation for the entire cryptocurrency space. Therefore, the Bitcoin dominance is described as the ratio between the market cap of Bitcoin to the rest of the cryptocurrency markets.

How does Bitcoin dominance work?
Bitcoin Dominance is a measure of how much of the total market cap of crypto is comprised of Bitcoin. ... When BTC Dominance increases, alts, on the whole, lose value against BTC. When BTC Dominance decreases, alts on the whole, gain value against BTC.