According to crypto analyst Javon Marks, altcoin dominance has entered oversold conditions for the first time in history. Marks highlighted in his post that the indicator, which measures the market share of all altcoins, is now the most oversold it’s ever been.
The chart reveals that dominance has declined sharply since its 2021 peak of around 20%. At the time of writing, the OTHERS.D dominance is around 7%. A wave trend indicator at the bottom of the chart is in deep negative territory around negative 50%, which is its lowest in history.
Marks noted that such oversold conditions often precede strong reversals. It means that selling pressure has been exhausted and that a major rebound could soon begin. If this pattern repeats, altcoins may be entering one of their most attractive accumulation phases in years.
Pillows explained that while ending QT may ease financial pressure, it does not directly inject liquidity into the economy, something altcoins need to rally. In contrast, QE or Treasury General Account (TGA) releases flood the market with liquidity and allow inflows into cryptocurrencies.
He noted that ending QT isn’t enough for alts to rally. It is either the Fed starts another QE or the Treasury releases TGA liquidity into the economy. The most feasible option right now is the second one.
