Step 1: Write the magnetic field on the axis of a circular coil.
The magnetic field at a distance \(x\) from the centre is
\[
B=\frac{\mu_0IR^2}{2(R^2+x^2)^{3/2}},
\]
where \(R\) is the radius of the coil.
Step 2: Differentiate with respect to \(x\).
Differentiating,
\[
\frac{dB}{dx}
=
-\frac{3\mu_0IR^2x}
{2(R^2+x^2)^{5/2}}.
\]
Ignoring the constant factors, we maximize
\[
f(x)=\frac{x}{(R^2+x^2)^{5/2}}.
\]
Step 3: Find the point where \(\dfrac{dB}{dx}\) is maximum.
Differentiating,
\[
\frac{df}{dx}
=
\frac{R^2-4x^2}
{(R^2+x^2)^{7/2}}.
\]
Setting
\[
\frac{df}{dx}=0,
\]
gives
\[
R^2-4x^2=0,
\]
or
\[
x=\frac{R}{2}.
\]
Since
\[
R=10\,\text{cm},
\]
\[
x=\frac{10}{2}=5\,\text{cm}.
\]
Hence,
\[
\boxed{x=5\,\text{cm}.}
\]
Therefore, the correct option is \(\boxed{(D)}\).