Date: Mon, July 28, 2025 | 07:00 PM GMT
The broader cryptocurrency market is showing signs of volatility after a strong green day, as Ethereum (ETH) pulls back from its 24-hour high of $3,940 and now trades near $3,775. This cooling momentum is spilling into major altcoins, many of which are seeing mild drops as traders reassess their positions.
Source: Coinmarketcap
Adding more weight to the cautious tone, Bitcoin dominance (BTC.D) is forming a harmonic pattern that hints at the potential for further downside pressure on altcoins in the coming sessions.
Harmonic Pattern Hints at Downside Move for Altcoins
On the 4-hour timeframe, BTC dominance is shaping a Bearish Bat harmonic pattern — a setup that typically signals rising Bitcoin dominance and potential weakness across altcoins during the final CD leg.
The pattern began with a drop from point X near 64.8%, followed by a bounce to point B, another dip to point C at around 60.7%, and is now advancing along the CD leg toward its projected target at the Potential Reversal Zone (PRZ) between 64.3% and 64.8%.
BTC.D 4H Chart/Coinsprobe (Source: Tradingview)
If this move continues, Bitcoin could gain more market share, typically translating to a pullback in altcoin valuations.
What’s Next for Altcoins?
If the harmonic pattern plays out as expected, altcoins could see additional downside over the next few sessions as BTC dominance rises. The PRZ zone around 64.3%–64.8% will be a key level to monitor. Should dominance stall or reverse in this area, altcoins may find relief. However, if BTC dominance breaks through this zone decisively, deeper pullbacks in altcoins could follow.
While short-term corrections are possible, the overall market structure remains intact as long as Bitcoin dominance holds below the 65% threshold, keeping room for eventual altcoin recovery once the pattern resolves.
