Bitcoin Dominance: Will the Alt Season continue?
Looking at the chart on the 18th of December 2017 we see the start of of a bearish close on the BTC .D.
At this point we seen many alt-coins continue to grow massively in value against BTC starting one of the most parabolic bull markets we have ever seen.
It is important to note that as of today the BTC .D is now pushing through that level once again, if it can stay below this area it will be a positive sign for Altcoins. Below i will give a brief explainer on Bitcoin Dominance.
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What is Bitcoin Dominance? (BTC.D)
Bitcoin Dominance measures the total % of the Market Share that Bitcoin control of the Cryptocurrency Market.
As you can see BTC.D is currently hovering just under 60%, which means 60% of all the money inside the Cryptocurrency Markets is currently in Bitcoin. If we start to drop lower then 60%, this can give us a potential clue that more and more money is flowing out of Bitcoin & into other Cryptocurrencies!
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By observing the Bitcoin Dominance, as a general rule:
When BTC Dominance rises, that means money is flooding out of alt-coins and into Bitcoin , usually in highly volatile times.
When BTC Dominance consolidates it is a possible sign that money is moving is flowing between the alt-coin and Bitcoin markets and this is the best time for you to be trading alt-coins as-well as after the BTC .D has a major sell off (signifies that money is flowing into other Markets).
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Example of Inverse Correlation with Altcoins:
For comparison i have attached a chart of XRP & ADA two popular altcoins, so you can see at the same time Bitcoin Dominance was starting to drop, (November 1st 2017) many altcoins started massive bull trends at the point of the BTC .D Sell off.
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Thank You For Reading
If you enjoyed the insights you can show your support by commenting & liking - below i have linked another idea for reference!
At this point we seen many alt-coins continue to grow massively in value against BTC starting one of the most parabolic bull markets we have ever seen.
It is important to note that as of today the BTC .D is now pushing through that level once again, if it can stay below this area it will be a positive sign for Altcoins. Below i will give a brief explainer on Bitcoin Dominance.
____________________________________________________________________________________________
What is Bitcoin Dominance? (BTC.D)
Bitcoin Dominance measures the total % of the Market Share that Bitcoin control of the Cryptocurrency Market.
As you can see BTC.D is currently hovering just under 60%, which means 60% of all the money inside the Cryptocurrency Markets is currently in Bitcoin. If we start to drop lower then 60%, this can give us a potential clue that more and more money is flowing out of Bitcoin & into other Cryptocurrencies!
____________________________________________________________________________________________
By observing the Bitcoin Dominance, as a general rule:
When BTC Dominance rises, that means money is flooding out of alt-coins and into Bitcoin , usually in highly volatile times.
When BTC Dominance consolidates it is a possible sign that money is moving is flowing between the alt-coin and Bitcoin markets and this is the best time for you to be trading alt-coins as-well as after the BTC .D has a major sell off (signifies that money is flowing into other Markets).
____________________________________________________________________________________________
Example of Inverse Correlation with Altcoins:
For comparison i have attached a chart of XRP & ADA two popular altcoins, so you can see at the same time Bitcoin Dominance was starting to drop, (November 1st 2017) many altcoins started massive bull trends at the point of the BTC .D Sell off.
____________________________________________________________________________________________
Thank You For Reading
If you enjoyed the insights you can show your support by commenting & liking - below i have linked another idea for reference!
