As Bitcoin (BTC) continues to cause huge concern in the market due to its current bearish downtrend, what about the altcoins? Is there hope on the horizon, or are we about to see a wipeout across the board?
For those holding altcoin positions the current malaise in the crypto market must be extremely concerning, and very difficult to bear. Should one sell and then wait for the bottom, or are we on the brink of a recovery?
Total3 could be heading to $800 billion
Source: TradingView
The Total3 chart tracks the combined market capitalisation of all cryptocurrencies, excluding $BTC and $ETH. One can see that the price has just fallen through the 0.382 Fibonacci level, and could be heading all the way down to the 0.618 Fibonacci, which would generally line up with the top of the bull flag which saw its peak at the end of March 2024.
Bitcoin Dominance stops at 58% or climbs past 62%?
Source: TradingView
The Bitcoin Dominance chart (BTC.D) is a real conundrum. What initially looked like a confirmed dip below the ascending channel turned into a rally back inside the channel. That said, a trendline may be forming which could reject dominance from the 58% level. If it fails to do so, and dominance can break up through this trendline, plus horizontal resistance, a rise to the top of the channel could take dominance past 62%.
Having the courage of one's convictions
With all this bearishness happening across crypto, it must be very difficult for the average investor to stop themselves from just selling up and getting out of the crypto market, perhaps once and for all.
That said, markets are not for the weak-minded and those who do not have the courage of their convictions. It has always been the case that investors of this ilk have been crushed under the market bulldozer without pity.
The current bull market is so far not acting like the previous ones. The days when this or that altcoin would make absolutely ridiculous gains based on nothing but thin air are probably well and truly over.
However, there are certain altcoins that could excel in the coming huge changes to the financial sector, and probably in various other sectors. There is no alternative to doing one’s own research on the fundamentals of these altcoins, and even then, one must have the courage of one’s convictions to hold these altcoins through the worst of times.
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.
