Everyone says that CMC dominance is irrelevant since it also includes stablecoins.
Yet, whatever params you use, there has been a sharp decline in btc dominance from the end of December 2020 (72%) to now (40%).
https://www.tradingview.com/symbols/CRYPTOCAP-BTC.D/IMHO, this has to reverse within a week or two, otherwise it would be difficult to recover and we would move (regrettably for me) from one hegemon (bitcoin) to a multi-polar crypto world.
It is not a popular possibility around here and my largely btc position would affect my worth (or the lack of it), but someone needs to point out that this scenario is possible.
TLDR; a bear market starting in 1-2 wk to smash alts or a true multi-polar crypto world is coming. Btc ETF approval could swing the balance back in btc favor, but I don't see anything else doing it, judging by the current dynamics.
Off course CMC is relevant. Perception is everything to retail traders, they don't work on actual analysis, and CMC is one reason we are losing/lost them. I leave the computer for 10 hours, check price when I get back BTC is lower and shitcoins are higher. Zero retail interest in BTC. All time low dominance is at 32% will we get there?
As you say, unless we see a major market crash that is not just aimed at BTC, we will take out those lows. With so many extra shitcoins this time its hard not to take out the lows honestly. The real question though is does ETH flip BTC? if so, that is a psychological hit that will deeply scare.
For 10 years now BTC has been attacked at all levels by all relevant authorities and charlatans, the shitcoins encounter none of this, it's amazing we have held on so long. Will these forces of evil finally win? History shows time and time again how retarded the sheeple are, the sheeple always seem to go along with those who want to hurt them, so long term it's not promising.
I hold out hope though that BTC pulls through and retains it's dominance. It is after all the coin that created the market, the only coin released for pure good intentions to make the world a better place, rather than to enrich the founders like every other shitcoin.