Eyes on USDT.D — Potential Altcoin Rotation SetupUSDT Dominance Update (USDT.D)
USDT.D is currently sitting just above the key red zone (support).
This level has acted as an important pivot for the last few weeks.
If we see a breakdown below this zone, it could trigger a short-term rally in altcoins — as capital rotates out of stablecoins into risk assets.
However, if USDT.D holds and bounces from this level again, it may put short-term pressure on alts.
Key Level to Watch:
The red zone — a clean break below it could open the door for a fresh altcoin run.
For now, patience is key. Let the chart confirm.
Marketcapdominance
USDT Dominance Chart Showing WeaknessA while back I posted a Bullish Shark with Bullish Divergence setup for USDT.D that signaled that USDT.D would rise as BTC fell and since posting that BTC Dominance indeed went up and price has certainly fallen. Now we have the opposite situation with USDT.D showing us a Bearish Shark with Bearish Divergence that we've failed to test above twice now and if things go as planned we should see BTC rallying as the USDT Dominance chart falls.
I will be targeting the zone between the 50% and 88.6% Retraces for profit taking before looking for any signs of reversal later on which if found could prove to be bearish for BTC if that time comes.