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Why BTC Dominance Climbs During Bitcoin Dumps

I think BTC dominance often rises when BTC is dumping because altcoins are much higher-beta and tend to crash harder — their market caps fall faster, so Bitcoin’s share of the total crypto market increases even if BTC is losing value.

I also see technical and behavioral drivers: leverage and margin liquidations hit smaller-cap altcoins first, traders rotate into BTC or stablecoins as a relative safe spot, and index-weighting math makes dominance climb when alt caps collapse.

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Analysis

Higher-beta altcoins suffer larger percentage declines and forced deleveraging during BTC-led sell-offs; because dominance is a market-cap share, faster altcoin losses translate into a higher BTC domi...

Recommendation

Watch BTC dominance alongside altcoin market-cap, on-chain flows, and funding rates; avoid leveraged alt positions during broad corrections and consider rebalancing into BTC or stablecoins until domin...

Disclaimer

The Analysis and recommendations provided are for informational purposes only. Any investment decisions should be made at your own risk. Past performance is not indicative of future results. Always conduct your own research and consider consulting with a financial advisor before making any investment decisions.

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