Thanks to a series of gains and losses over the past week, the price of Bitcoin (BTC) has not seen any significant overall change, pointing to widespread uncertainty in the market despite the inauguration of pro-crypto Donald Trump as US president. Interestingly, blockchain analytics firm Glassnode notes that the broader development points to a bullish future for the flagship crypto asset.

Bitcoin’s dominance is growing, what awaits us?

IN post X On January 24, Glassnode reports that Bitcoin’s dominance is currently on the rise after falling to ~54% in December 2024, during which the main cryptocurrency experienced a significant price correction of approximately 14.5%. Following a remarkable price rebound in January, Bitcoin’s market share has now exceeded 57%, indicating increased investor preference for BTC amid high market uncertainty.

According to Glassnode, this development is similar to the 2020/2021 bull cycle, where BTC dominance reached a local low of 60% in November 2020, before rising to 69% in January 2021, before falling again.

During this cycle, Bitcoin’s dominance eventually peaked at around 72%, preceding the asset’s rise to $40,000, doubling the previous cycle’s all-time high of $19,764. It is worth noting that Bitcoin continued to rise in this bull market, reaching an all-time high of $64,800.

Therefore, if the major cryptocurrency reflects such performance, investors can expect a minimum price target of $128,000 in the current bull run. However, based on historical data from Glassnode, BTC will likely only start growing exponentially once its dominance peaks and begins to decline.

It is worth noting that this period is called the alt season, where altcoins generally outperform Bitcoin in terms of market performance due to a change in investor risk appetite. During this period, altcoins would experience greater capital inflows than Bitcoin due to their ability to potentially generate higher returns than the leading cryptocurrency. Although BTC would still result in a significant price escalate which is crucial to the bullish direction of the overall cryptocurrency market.

Altseason suspended?

As BTC continues to grow in dominance, it appears that, contrary to previous popular speculation, the alt season has not yet begun. According to CoinMarketCap data, the altseason index is currently at 46, indicating that the market is still relatively neutral but slightly leaning towards Bitcoin season.

However, the current status of the market can be attributed to the current uncertainty surrounding investors. According to previous predictionsThe alternative season is expected to begin soon, with significant price increases expected in March.

Although some analysts such as Ali Martinez now postulate alt season may not happen in this bull cycle due to the massive growth of altcoins over the last four years. At the time of publication, Bitcoin is still trading at $104,680, reflecting an escalate of 1.05% over the last day.