Bitcoin’s market dominance in the cryptocurrency markets stopped its rise and began to trend horizontally with the recent fluctuations and consolidation process. According to the new chart prepared by analyst Markus Thielen, Bitcoin’s dominance fell to 56.8 after reaching 65.1 during the Ethereum-centered rise period and subsequently remained stable around 58. These data indicate that the sharp recovery movements observed in previous periods did not occur this time.
Change in Bitcoin’s Dominance and Market Dynamics
In the past, when there was stress in the crypto market or alternative crypto assets weakened, investors often turned to Bitcoin in search of a safe haven. However, this time a similar flow was not observed. In recent months, Bitcoin’s market share has remained largely flat, moving in line with the total crypto market cap.
In the chart shared by analyst Markus Thielen, Bitcoin dominance and total market value are compared between September 2023 and early 2026. After the increases in 2024 and the beginning of 2025, the dominance rate began to decline, and no permanent recovery was observed here. This picture indicates that investors are hesitant to make a sharp return to Bitcoin despite the uncertainty environment. Some market participants continue to protect their positions in alternative crypto assets, which slightly reduces the weight of Bitcoin.
Bitcoin’s Leadership Role Is Questioned
Markus Thielen notes that the current trend may indicate that investors are quietly reviewing Bitcoin’s leadership position. While Bitcoin is still the market’s primary asset, the lack of a significant increase in dominance during the consolidation period suggests that some market segments are developing resilience without the need for Bitcoin’s leadership.
If this trend continues, it is considered that a more dispersed leadership period may be seen in the cryptocurrency market, and alternative crypto assets and layer-1 ecosystems may gain relative strength. While the report emphasizes that the decline in the dominance rate does not yet indicate a major collapse, it is stated that the classic “refuge to Bitcoin” cycle does not work in this process.
On the other hand, Bitcoin witnessed a total realized loss of 2.3 billion dollars in the last seven-day average. According to analysts, this figure is defined as one of the most significant capitulation events in Bitcoin history.
