As Bitcoin’s year-to-date performance shows a remarkable 75 percent pump, Crypto Analyst, Doctor Profit argues that the current bullish outlook may have reached a saturation level. This comes as the altcoin market starts gaining momentum, drawing investors’ attention away from the flagship cryptocurrency.
Despite the positive sentiment surrounding Bitcoin, Doctor Profit doesn’t expect the digital asset to rally beyond its all-time high (ATH). Instead, he foresees a prolonged period of sideways trading, offering traders and investors limited price movement between the $21k and $38k price range.
While Bitcoin’s consolidation continues, altcoins are experiencing notable gains, with some even outperforming Bitcoin in terms of returns. This shift in attention to altcoins suggests a diversification trend among investors, as they seek potentially higher profits in alternative cryptocurrencies.
Bitcoin Bullish Factors
On a positive note, Ark Invest CEO, Cathy Woods, believes that Bitcoin has the potential to reach an astonishing $1.5 million per coin. She attributes this potential surge to mainstream adoption as more individuals and institutions turn to cryptocurrencies as an alternative to traditional banking systems.
Additionally, institutional fund managers, led by BlackRock, have shown increasing interest in Bitcoin. Many see Bitcoin as a hedge against rising global inflation, adding further support to its status as a valuable asset in a diversified investment portfolio.
While the market outlook remains uncertain, traders and investors are closely monitoring Bitcoin’s dominance in the overall cryptocurrency market. Currently hovering around 48 percent, Bitcoin’s dominance is approaching a critical support/resistance level. If it breaks below this level, it could indicate a further shift towards altcoins and a potential challenge to Bitcoin’s long-standing position as the dominant cryptocurrency.
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