BTC Dominance Hits 65% as Chart Repeats 2018 and 2021 Altcoin Setup

• The Bitcoin dominance chart shows it is now at 65 percent and very close to its last major ceiling.
• In 2018 and 2021his same price level marked a turning point where altcoins moved up very fast.
• Many traders now believe the zone between 64 and 66 percent could lead to a new altcoin push soon.

Bitcoin dominance has reached a multi-year supply zone near 65.27%, signaling a potential shift in capital flow toward altcoins. A chart posted on July 12, 2025, shows the BTC dominance index approaching historical resistance, prompting speculation about an impending altcoin rally.

According to the 14-day BTC Dominance chart from TradingView, dominance levels have steadily increased since mid-2022, moving from below 40% to above 64%. The visual shared by @CryptoYoddha highlights a defined supply zone where BTC dominance previously reversed during major altcoin surges in 2018 and 2021.

With price action now entering the shaded blue region near 66%, traders are watching closely for a reversal. The accompanying tweet suggests that “you are underestimating the Alts pump that’s about to come,” signaling bullish sentiment toward alternative cryptocurrencies.

Supply Zone Retest Echoes Past Patterns

The BTC dominance index is approaching the same resistance zone that triggered sharp reversals in 2018 and early 2021. In both cases, the reversals were followed by strong rallies in altcoins, creating significant opportunities for traders across the crypto space.

Between July 2018 and January 2021, dominance fell sharply after entering the supply zone, moving from over 70% to below 40%. A similar trend was seen after BTC dominance spiked in early 2021, only to reverse after hitting just above 73%. In each instance, capital flowed into altcoins, causing explosive price movements.

The chart clearly marks the “Supply Zone” across the 64–74% range. Current price action is positioned within that area, suggesting a possible repeat of history. A red highlighted area on the right side of the chart may indicate anticipated downward pressure on BTC dominance in the coming weeks.

The trendline from early 2023 shows a consistent upward pattern. However, momentum may be weakening as BTC dominance nears long-term resistance. If previous trends persist, the crypto market could experience another phase favoring altcoins.

Analyst Hints at Altcoin Season Emergence

Crypto analyst @CryptoYoddha, who shared the chart on July 12, 2025, believes the market is underestimating the potential for altcoin growth. The post reached over 48.5K views within hours, reflecting strong engagement from the trading community.

Historical data supports the idea that when BTC dominance reaches key levels, altcoins tend to outperform. With BTC dominance nearing 66%, the stage may be set for a capital rotation into mid-cap and low-cap tokens. This potential shift comes after over 18 months of Bitcoin outperformance.

The chart shows BTC dominance moving tightly along a rising channel, but the momentum could face resistance near the top of the supply zone. If a breakout fails to materialize, traders may anticipate a reversal as seen in past cycles.

Could this supply zone mark the beginning of another altcoin rally across the digital asset market?

Historical Signals Fuel Bullish Altcoin Outlook

The dominance chart highlights several previous periods of altcoin strength following supply zone retests. With BTC dominance currently testing those levels again, traders are preparing for another shift.

Comments under the tweet echoed growing confidence in altcoin potential. One user noted, “the real pump is coming,” while others pointed to repeated historical patterns as a basis for optimism.

As July progresses, dominance action within this zone will remain a critical signal. Altcoins may see renewed momentum if BTC fails to extend dominance beyond 66%. The chart data provides a clear visual reference for monitoring potential reversals.