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Amid geopolitical tensions, Bitcoin (BTC) dominance is showing signs of decline, while altcoins have demonstrated unusual resilience, entering a macro reset phase that could mark a transition into a bull market.
Cryptocurrency analyst Dan Gambardello stated in a video released on his YouTube channel on March 1 (local time) that escalating tensions in the Middle East are impacting the digital asset market in a manner similar to the period surrounding the 2003 invasion of Iraq. Referencing past cases where pre-war uncertainty heavily weighed on markets, Gambardello emphasized that markets have historically rebounded after actual military conflict began. He characterized the current downturn as a historic buying opportunity occurring in oversold conditions and assessed that a macro-level market reset is underway.
The ability of altcoins to firmly defend support levels against Bitcoin is an encouraging signal on the High Time Frame. Gambardello pointed out that Bitcoin dominance is losing momentum near the 61% resistance level, suggesting that an altcoin bull market may be imminent. Major altcoins, including Ethereum (ETH), are forming bottom patterns on the daily chart, and this structural consolidation process is interpreted as a signal of potential outperformance relative to Bitcoin.
Macroeconomic indicators are also supporting a favorable environment for the digital asset market. The Purchasing Managers’ Index (PMI) ending its contraction phase and moving back above the 50 mark is a strong signal of renewed liquidity supply. Gambardello projected that the economic policies pursued under U.S. President Donald Trump’s administration could create conditions similar to the economic boom of the 1990s. As quantitative tightening (QT) concludes and capital flows into risk assets accelerate, the digital asset market appears poised for a new leap forward.
Citing his proprietary risk model reading of 11, Gambardello expressed strong confidence that the market is nearing the end of its bear phase. “Historically, peak fear has marked the optimal time to accumulate assets,” he explained, urging patience from a long-term perspective. The synchronization between the Russell 2000 index and altcoins suggests that capital rotation into small-cap stocks and digital assets is gaining momentum.
Upcoming economic data releases alongside the opening of traditional financial markets may heighten short-term volatility, but the broader market structure indicates a solid recovery. Market participants are advised to closely monitor real-time price reactions and establish phased buying strategies within low-risk zones. The digital asset market has now reached a critical point, overcoming geopolitical challenges and positioning itself for macro-level growth.
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