We are now back with a small analysis on the Bitcoin dominance chart.
Note: It is crucial to keep track of the Dominance chart as it indicates the broader image of the whole Alt marketcap and the altcoin "seasons" While An increasing dominance means Bitcoin is gaining more weightage in the market,a decreasing dominance has a positive impact on the Altcoin markets
A few scenarios we want to consider before we jump to any conclusions:
If dominance is bearish (or goes down):
If dominance is bullish(or goes up):
So lets dive in!
Outlook:
Dominance -> Bearish
Bitcoin Price -> Bullish (Bullish Exhaustion noticed, near daily resistance, may start going down. Refer this article on Leofinance! for our analysis on #Bitcoin.
Altcoins: positive with respect to BTC
Chart:
Analysis:
the diagonal trendline looks like Dominance broke down, and already did a couple of retests, and is poised to go down from here. We see weakness on the Dominance charts, on 1D and 1W timeframes.
Though the downtrend may not be as dramatic as during the 2017 Altcoin(s) Moon run, we do feel the next few months will be interesting.
We will come up with a list of altcoins to hold for moon (Of course Hive is there on the list 馃槈)
Outlook:
Dominance -> Looks like a bullish retest of support, Bearish if goes down
Bitcoin Price -> Bullish Exhaustion noticed, near daily resistance, may start going down. Refer this article on Leofinance! for our analysis on #Bitcoin.
Altcoins: neutral/bearish with respect to BTC.
Our take: We will be waiting for a bit to scale in on alts!
If BTC dips, and dominance reaches somewhere around 68-69%, we will be buying up a few alts on USD pair. slowly, FOMOing isnt recommended right now.
We believe a lot of alts made their run, so its better to wait for a pullback,
Weekly and daily looks good for altcoins, but smaller timeframes look like there can be some dip. so play safe!
We kept the charts simple, as simple charts are often the most powerful!
Do let us know what you think!
You can comment your favorite altcoin below, and we will post our analysis on a new post and notify you as well! :)
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Up Next: We will post about the Alt Marketcap and a few altcoin analysis.
