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Bitcoin (BTC) had a positive weekly close, holding above $63,000, and boding well for the coming week. That said, Monday finds the $BTC price flat, while the rest of the crypto market is generally up. Is money going into the altcoins as speculators bet on an eventual big price rise for $BTC?
All eyes are normally on Bitcoin, but for the time being at least, speculators are starting to place more bets on the altcoins. If previous bull markets are anything to go by, once Bitcoin has its big price surges, but then starts to lose steam, this is normally the time when the altcoins can start to outperform, and start their own huge expansion.
$BTC currently flat, but local high in sight
As things stand, although Bitcoin is slightly down, and is still working out its latest small corrective phase, it is generally looking very positive. Currently above $63,500, the price is not far below what would be an extremely important higher high at $65,050.
Source: TradingView
In the above short term chart, it can be seen that the $BTC price is still holding inside the ascending channel. $BTC is currently sitting on a level of support at $63,550, and may bounce from here. Just below is the 0.786 Fibonacci level at $62,400 which would likely act as support should the price dip through the bottom trend line of the channel.
Has Bitcoin Dominance topped out?
Source: TradingView
Giving hope to the altcoins is the Bitcoin Dominance chart. The short term time frame is showing that dominance reached a high of 58.6% five days ago. Currently at a level of support, it remains to be seen if $BTC dominance will drop further, or whether it will bounce to the upside once more.
That said, at this stage of the bull market, the movements of Bitcoin are still probably given far greater credence than the rest of the cryptocurrency market as a whole.
Measuring where the $BTC price is in relation to previous bull markets, it could be posited that it is now more than halfway through this bull cycle, meaning that while the last, possibly parabolic stage, is getting closer, it isn’t here quite yet.
Until those last few weeks of surging price action, Bitcoin will in all likelihood continue to rule the rest of the cryptocurrencies, although as time goes by, increasing value could be poured into the altcoins, which could start to chip away at Bitcoin dominance.
Altcoins beginning to break trend
Source: TradingView
Some of the more promising of the altcoins have already broken through trend lines. Once such is Render ($RENDER), which is currently up nearly 11% on the day. The price is at resistance now, and could be rejected here. That said, going forward into the next few weeks, $RENDER is likely to be one of the leaders of the altcoin pack. Future price targets, based on the Fibonacci levels, are in the chart above.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
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