Crypto Market Faces Altcoin Decline Amid Bitcoin's Rising Dominance

The cryptocurrency market is experiencing a significant decline in altcoins, according to Ben Cowen, a crypto market analyst and founder of Into The Cryptoverse. According to Odaily, Cowen suggests that this process is essential for Bitcoin to enter a sustainable bull market cycle. Since 2021, there has been an ongoing 'purge of junk coins,' but a larger scale of cleansing is still needed for the market to regain a healthy structure. He notes that funds are continuously moving from high-risk tokens to Bitcoin, with BTC's dominance rate steadily increasing as a clear indicator. Data reveals that the number of token deployments tracked by GeckoTerminal has surpassed 25 million, with over 11.6 million projects failing in 2025 alone, primarily due to the burst of the meme coin bubble. CoinShares researcher Luke Nolan supports the notion that '95% of tokens are worthless.' Despite Bitcoin's current rise above $81,000, Cowen remains cautious, asserting that BTC is still in a bear market phase. He warns that if Bitcoin fails to hold the critical resistance level of approximately $88,880, its price could retreat to the $58,000 to $62,000 range. Amid the Federal Reserve's delayed interest rate cuts and ongoing geopolitical risks, the crypto market faces short-term pressure, with 2026 appearing more like a reset year rather than one for reaching new highs.