{"id":430033,"date":"2020-07-08T16:00:53","date_gmt":"2020-07-08T16:00:53","guid":{"rendered":"https:\/\/wncen.com\/?p=430033"},"modified":"2024-06-11T14:04:54","modified_gmt":"2024-06-11T14:04:54","slug":"bitcoin-crush-ongoing-altcoin-rally","status":"publish","type":"post","link":"https:\/\/wncen.com\/news\/bitcoin-crush-ongoing-altcoin-rally\/","title":{"rendered":"Here\u2019s How Bitcoin Could Crush the Ongoing Altcoin Rally"},"content":{"rendered":"
Bitcoin is flashing some signs of strength as it pushes towards $9,400. This marks a break above the resistance it has faced at $9,300 over the past week.<\/p>\n
Although BTC<\/a> has only climbed slightly today, buyers appear to be in firm control of the aggregated cryptocurrency market. Many altcoins are now finding themselves caught within intense uptrends.<\/p>\n In some cases, some smaller digital assets like Dogecoin have been able to see parabolic rallies over a 24-hour time period.<\/p>\n This price action has led some investors to deem it \u201caltseason\u201d \u2013 signaling that they anticipate this trend to continue.<\/p>\n It is important to note that this may simply be the result of Bitcoin\u2019s historically low volatility, which provides an ideal backdrop for altcoins to make independent movements.<\/p>\n It is possible that once BTC\u2019s volatility returns, it will crush altcoins and cause many to surrender all of their recent gains.<\/p>\n Because Bitcoin<\/a> has generally remained stuck within the lower-$9,000 region over the past couple of days, altcoins have been significantly outperforming it.<\/p>\n This isn\u2019t unusual, however, as alts historically tend to perform quite well during times of stability for the benchmark cryptocurrency, as traders largely shift their focus towards smaller and more easily moved tokens.<\/p>\n Over the past couple of days, numerous altcoins have seen massive rallies, including ADA \u2013 which was trading up over 20% at one point yesterday \u2013 Dogecoin, Chainlink, and others.<\/p>\n Dogecoin even posted gains of over 100% yesterday evening, but this Tik Tok-induced pump was short-lived, and its price has since heavily retraced.<\/p>\n Nevertheless, the market still looks hot, and there is a strong chance that more tokens will post notable gains as Bitcoin remains stable.<\/p>\n According to data<\/a> from Skew, Bitcoin\u2019s volatility is currently at levels not seen in over a year.<\/p>\n The last time it was this low was just before the \u201cgreat selloff\u201d seen in November of 2018 that ultimately led the crypto to lows in the $3,000 region.<\/p>\n \u201cBitcoin ten days realized volatility = 20%. Last time we reached that level, we had the great sell-off of November 2018 shortly after.\u201d<\/p><\/blockquote>\n <\/p>\n Because the ongoing altcoin rally appears to be dependent on Bitcoin\u2019s stability<\/a>, a pending BTC movement could halt these tokens in their tracks.<\/p>\nBitcoin Volatility Remains Incredibly Low, But That May Soon Change<\/strong><\/h2>\n
Image courtesy of Skew.<\/pre>\n
Why BTC Could Soon Crush Altcoins<\/strong><\/h2>\n