A crypto market analyst confirmed that Bitcoin (BTC) has closed above the bull flag on the daily price chart. This move coincides with a 6% drop in the Bitcoin dominance metric, a sign of a general shift in market momentum.
Bitcoin price setup
In an X post, popular market analyst Rekt Capital spotlighted a bull flag pattern on the Bitcoin chart.
For context, a bull flag is formed when an asset moves in a strong upward trend followed by a consolidation period. The price action then forms a pattern in the shape of a flag.
#BTC
This is exactly the sort of price positioning Bitcoin needs to enjoy to not just confirm the Bull Flag breakout but also successfully retest $120k into new support
All in an effort to attempt a springboard to new All Time Highs$BTC #Crypto #Bitcoin https://t.co/jyij1Bq03B pic.twitter.com/mQvudYPOVB
— Rekt Capital (@rektcapital) August 13, 2025
Rekt Capital emphasized that Bitcoin is successfully retesting the bull flag as support to confirm a breakout. He posted a TradingView chart that showed $120,019 as the next key support for Bitcoin.
According to Rekt Capital, the bull flag breakout, together with the new support level, primes BTC to hit a new all-time high.
In summary, the BTC price looks set for a potential upward movement. Within the past 24 hours, BTC has increased by 1.08% to $120,307. Although the price increase is small, it marks a huge shift for a coin that dropped toward the $118,000 lows earlier in the week.
Bitcoin dominance falls to 59%
Despite the recent price rally, Bitcoin dominance dropped from 65% to 59%, marking a 6% drawdown over two months.
According to data analytics platform Glassnode, the decline demonstrates the growing appeal of altcoins amid broader risk-on behavior.
The 6% drop in Bitcoin dominance is largely attributed to the signal that capital rotation is driving. Traders are exploring other digital assets beyond BTC as top altcoins show positive performance.
$BTC dominance fell from 65% to 59% over two months, underscoring the growing appeal of altcoins amid broader risk-on behavior. pic.twitter.com/5OM7uP211M
— glassnode (@glassnode) August 13, 2025
For instance, Ethereum (ETH), the leading market altcoin, has broken key resistance. At press time, the ETH price was trading at $4,685, up 6.34% over the previous day. Coinciding with the price rally, Standard Chartered has raised its 2025 Ethereum price targets from $4,000 to $7,500.
Other altcoins, like XRP, Binance Coin (BNB) and Solana (SOL), have also followed the bullish move. The coins registered price increases of 3.2%, 5.6% and 13.7%, respectively.