Bitcoin hitting $98K? Great. Everyone's celebrating. Champagne corks are popping. Put away your enthusiasm for that old rising tide lifting all boats nonsense! So, let’s look into what this actually means for the altcoin market. Here’s the bad news though— this surge might be a wolf in sheep’s clothing.

Bitcoin's Dominance A Double-Edged Sword?

Let’s be clear, a higher Bitcoin price is likely in the best interest of the entire crypto space. It adds new money, confirms the technology, and tends to lead to an overall positive market bullishness. Let's not ignore the obvious: Bitcoin's dominance is at a yearly high of 64.4%. That’s an enormous amount of capital moving into Bitcoin, and out of altcoins.

Think of it like this: Bitcoin is the established tech giant, like Apple or Microsoft. Yet everyone runs to it when there’s a flight to quality or uncertainty. Altcoins? They’re the innovative startups, the exciting game-changers, they’re the innovative disruptors with huge upside potential but way more risk. Capital gravitates towards safety first.

This isn't just theoretical. More than $184 million was liquidated in the past 24 hours, largely from bearish altcoin positions. That gives you an indication of where the pain currently is. People are shorting altcoins, and Bitcoin’s dramatic rise is pouring gasoline on that fire.

So, is this the end of altcoins? Absolutely not. But it is a crucial inflection point.

71% Is The Magic Number, Not 64.4%

Here’s where the contrarian view might catch readers’ eyes – and where things get really interesting. Remember that Rekt Capital analysis floating around? The guy who predicted altseason would begin once Bitcoin dominance reaches 71%? Pay attention to that.

Think about it: Bitcoin dominance reaching 71% signals a peak. Which to me, at least, means Bitcoin has drained all of the liquidity it’s going to drain. After that, the only way the market can go is down, and that requires capital to begin rotating out of Bitcoin. Then, smart investors will look to altcoins.

It's like a coiled spring. The more Bitcoin’s grip on the market, the greater the potential pop when altseason finally comes. The panic and FOMO, as they call it, is going to be very real.

When will the altseason arrive? That's the million-dollar question, isn't it? And that’s where you have to be tactical.

Which Altcoins Will Actually Explode?

Not all altcoins are created equal. While consistent Dogecoin trading volumes are a welcome sight, billing isn’t done with consistency. What you do need to be doing is out there hunting for projects with true promise, ahead of the pack.

Don’t expect to find any specific coin recommendations here. Do your own research. Do be on the lookout for projects with good teams, good technology, and legitimate real-world use cases.

  • DeFi 2.0 Projects: We're talking about protocols that are addressing the shortcomings of the first wave of DeFi – things like impermanent loss, scalability, and governance.
  • Gaming and Metaverse: The metaverse isn't dead. It's just hibernating. Projects building immersive experiences and integrating blockchain technology are going to be huge. Think about the surge of Nvidia's stock due to the AI potential!
  • Real World Asset (RWA) Tokenization: This is where the traditional financial world meets crypto. Tokenizing assets like real estate, commodities, and even art opens up a whole new world of possibilities.

Avoid the pump and dump mentality Don’t be lured by the excitement around hype chaser meme coins or projects that are without merit. Prosperity from this altseason will be going to projects that are genuinely creating value.

Jerome Powell’s fears that incoming tariff-type measures could further inflame inflation and stunt economic growth are on point. The total crypto market cap has decreased by 0.20% over the past 24 hours. This recent drop is a reminder that the market can be extremely unpredictable. The Grayscale Bitcoin Mini Trust will be an industry disrupter, but in what way.

Relying on a narrow set of strategies would be an enormous mistake. Diversify your portfolio. And always, always do your own research.

Bitcoin reaching $98,000 would be an amazing achievement and it will be, indeed. That isn’t the end of the story. It’s simply the opening of the next exciting chapter. For those who have ears to hear, that chapter would be tremendously lucrative. Just don’t forget, the biggest profits are earned before the crowd shows up, not after.

Don't put all your eggs in one basket. Diversify your portfolio. And always, always do your own research.

Bitcoin hitting $98K is a milestone, no doubt. But it's not the end of the story. It's just the beginning of the next chapter. And for those who are paying attention, that chapter could be incredibly profitable. Just remember, the real gains are made before the masses arrive, not after.

Are you ready for the altcoin explosion? I am.