These 3 Altcoins Outshine Bitcoin (BTC) as Dominance Cools This Week

Key Takeaways

• Bitcoin dominance nears a peak, forming an ascending triangle pattern.
• Altcoin season index shows potential for upcoming altcoin gains.
• Top altcoins outperform Bitcoin, gaining bullish momentum since August.

Bitcoin Dominance Cools  

Bitcoin’s market dominance has steadily risen from a low of 39% in November last year, reaching a peak of 57.7% on August 9, 2024—the highest since April 2021, primarily fueled by a broad decline in the cryptocurrency market.

However, the momentum has slowed since January, forming an ascending triangle pattern, a technical signal often associated with the final phase of an uptrend. Like a rising wedge, this pattern indicates that Bitcoin’s dominance may be nearing its peak as it completes a five-wave advance.

Bitcoin encountered resistance at the top of the triangle, struggling to surpass the 57.7% high, and is now making a downturn. Meanwhile, the altcoin index shows we’re in a Bitcoin season, with the altcoin season index at 27. It was at 18 on Sept. 2 and is starting to show an uptrend. 

The last altcoin season began on October 16, 2023, and peaked at 75 in January 2024. The recent rise in this index suggests a favorable period for altcoins might be on the horizon.

Bitcoin Outperformers

The table below highlights three cryptocurrencies from the top 100 that have outperformed Bitcoin over the past seven days. The 7-day percentage change relative to BTC is prioritized to show price changes against Bitcoin’s USD value fluctuation. For comparison, the price change in USD is also included.

The cryptocurrencies are listed in order from the biggest winner based on the 7-day percentage difference. Helium (HNT) is the top performer, with a 24.98% increase compared to BTC, followed by Starknet (STRK) at 14.17%, and Uniswap (UNI) in last place with a 13.75% increase.

The comparison chart shows that these three cryptos share a similar pattern. We saw an upturn after declining price action on Aug. 24. HNT, STRK, and UNI prices started to gain momentum on Aug. 30 (last Friday), which could be their wave 3 of a developing five-wave impulse. 

Previously, a recovery led to a higher high and a higher low for HNT in particular, but in the case of STRK and UNI, the lows around Aug. 30 kept the same level as before. If this is wave 3, we should see the momentum continuing the following week. 

Conclusion 

Bitcoin’s dominance indicates that its uptrend may be nearing completion, while the altcoin season index remains in a low range, which typically signals the onset of an altcoin season. Since Aug. 5, selected altcoins have outperformed BTC, displaying bullish trends. 

This positive momentum could persist into the coming week, with more altcoins potentially gaining market share and initiating an altcoin season later in September. 

About the Author

Nikola Lazic

Nikola Lazic is a cryptocurrency analyst and investor working in the industry since 2017. He holds a bachelor's degree in Sociology, which enables him to better understand the psychology behind the crowd´s positioning. Consequently his preferred analytical tool is Elliott Wave Theory in combination with price action analysis. Combining his experience in trading and investing with knowledge in content writing he strives to bring the most accurate and actionable information. Expertise: Cryptocurrencies, Technical analysis, Elliott Wave Theory, On-chain metrics, Research reports.

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