Recently, the cryptocurrency market has once again fallen into turbulence. Although mainstream cryptocurrency Bit has shown relatively stable performance, the changes in its market share conceal important clues, providing significant market signals for investors.

The market share of Bitcoin has recently risen to around 62%, once again challenging the 50-week moving average, a phenomenon that last occurred in early December of last year. This moving average has seemingly become a watershed for the market. If Bitcoin's market share can break through this key position, it may signal an impending collective rebound for altcoins. Looking back at the two rounds of market trends in 2024, whenever Bitcoin's market share declines, the altcoin market becomes active.

It is worth noting that the altcoin index has recently fallen from a high of 60 to 45. Compared to earlier this year, when it broke through 75 twice, the current market enthusiasm still seems insufficient. This may indicate that there is still room for growth in the altcoin market.

Ethereum (ETH), as the largest altcoin, has also shown noteworthy performance recently. The last two spikes were accompanied by a significant increase in trading volume, one in early May and the other very recently. However, such volume-driven increases are often followed by short-term profit-taking, creating a typical "panic buying - quick selling" pattern. Therefore, whether ETH can break through and hold the $4000 mark will be a key factor in determining if it can initiate a new round of increase.

Dogecoin (DOGE), as another highly watched altcoin, has recently drawn market attention due to its pullback. Notably, achieving the price of 0.1568 USD is particularly important, as it represents the average holding cost for Dogecoin holders. Historical data shows that, except in extreme bear markets, whenever the price approaches this level, adopting a dollar-cost averaging strategy often yields good results.

Overall, the current encryption currency market is at a critical turning point. The trend of Bitcoin's market share, whether Ethereum can break through key resistance levels, and the overall performance of the altcoin market will all have a significant impact on the future market direction. Investors should closely monitor changes in these indicators and adjust their investment strategies in a timely manner.