The cryptocurrency market is witnessing significant changes regarding Bitcoin dominance and the recovery of altcoins. Additionally, news headlines and regulatory shifts underscore overall market optimism.
Bitcoin Dominance and Its Trends
Bitcoin dominance is wobbling at a key threshold, as analyst Rekt Capital reports. He points out that Bitcoin dominance remains firm within a long-term uptrend. If this structure holds, Bitcoin may reach the 60-70% range. However, another analyst, Jonathan Carter, argues that Bitcoin dominance has formed a double top, similar to the cycles of 2021. Current values hover around 60.80% with an RSI of 35.78, indicating persistent bearish momentum.
Growth of Altcoin Market Capitalization
Data from World Of Charts highlight that the total market cap of altcoins, excluding Bitcoin and Ethereum, has been on a positive trend since mid-June 2025. After breaking out from a falling wedge around $940 billion, the cap surged to $1.14 trillion in July and successfully retested the breakout zone. The market is currently trading near $1.03 trillion, maintaining higher highs and confirming support at levels of $940 billion and $980 billion.
Impact of New Legislative Initiatives
Significant changes in the cryptocurrency market occurred with President Donald Trump's signing of a new executive order, opening the $12.5 trillion 401(k) market to crypto investments. This creates stable and automatic buying flows from U.S. investment accounts, which is expected to increase overall market activity.
In the current state of the cryptocurrency market, there exists a complex balance between Bitcoin dominance and the recovery of altcoins. Important legislative measures could significantly impact the market's future development.
