These 3 Altcoins Outperformed Bitcoin This Week — FTT the Biggest Winner

Key Takeaways

• Bitcoin’s dominance is nearing a peak as growth slows.
• The decline in the altcoin season index suggests a less favorable altcoin environment.
• FTT outperformed BTC significantly but faces the risk of a correction.

Bitcoin’s market dominance has steadily climbed to its highest level since April 2021, driven by a downturn in the broader crypto market.

However, this growth has slowed, forming patterns that suggest a potential peak in dominance. Meanwhile, the altcoin season index has declined, indicating a challenging environment for altcoins.

A few altcoins have outperformed Bitcoin over the last week, with FTX (FTT) leading the way, though its parabolic rise could lead to a subsequent pullback.

Bitcoin’s Dominance

Bitcoin’s market dominance has risen significantly, climbing from a low of 39% in November last year to 58.6% as of Sept. 19, 2024, marking the highest level since April 2021.

This rise was driven primarily by a downturn in the broader cryptocurrency market.

Since January, the pace has slowed, forming an ascending triangle pattern, often seen as a sign of a nearing uptrend peak. Similar to a rising wedge, this pattern suggests that Bitcoin’s dominance may be approaching a high as it completes a five-wave advance.

Recently, Bitcoin hit resistance at the triangle’s top, causing a dip to 57.1% on Oct. 2, but it spiked back up to 58% following the market’s overall decline. 

The altcoin index peaked at 46 on Sept. 21, similar to mid-July, but experienced a downturn. It is currently sitting at 31, which is closer to Bitcoin season.

Similar to what we saw in July, we can see a further decline following the market and a reversion to a more favorable period for BTC. 

This is why, in the week behind us, few altcoins outperformed BTC in the top 100 and did so by an insignificant amount. 

Bitcoin Outperformers

Some altcoins have outperformed Bitcoin over the past seven days.

Their performance against Bitcoin is highlighted by a greater percentage change relative to BTC’s fluctuations, with their USD price changes also providing additional context.

The cryptocurrencies are listed by their 7-day percentage increase relative to BTC. FTT is the top performer, with a 77% increase against BTC, followed by Aptos (APT) with 15.85% and Matra (OM) with an increase of 8.95%. 

Looking at the comparing chart, we can see that from last Friday, Sept. 27, FTT went parabolic while APT and OM lost their momentum since the start of last week, forming ascending channels. 

As the biggest gainer, FTT is still on an upward trajectory and could continue increasing in the following week. However, these parabolic rises are usually accompanied by a subsequent crash. 

Conclusion 

Bitcoin’s dominance suggests its uptrend has been completed for some time, but its recent spike has shaken this anticipation.

The altcoin season index has declined since its September high, suggesting a less favorable environment for altcoins. 

The market declined, and altcoins have been hit hard, averaging 20% decreases since their September highs.

In the week ahead, we could see some recovery, but it appears that Bitcoin will benefit more.