The performance of the cryptocurrency market has been on a downward trend and Bitcoin, Binance Coin, and other cryptocurrencies’ values have all continued to decrease. The likelihood of the market losing value increases as the downward trend persists.
Before the jobs report, Bitcoin was fluctuating around support near $20,000 but fell to a daily low of $19,336 just hours afterwards. Bulls were able to push its price back up to $19,499 as of the time of writing.
According to Chainslab analytics on TradingView, the most anticipated event throughout those four months was The Merge and Ethereum, which saw some extremely nice increases. As money poured into ETH, BTC.D (Bitcoin dominance) hit the support.
Now the question is: Will Altcoins maintain their momentum?
For example, ETH at $2,000 and $BNB at $33x backtested the criticals ex-support in August from a technical perspective. The strength and momentum in the Altcoins/BTC pairs receded, but they can reach it again if BTC has another bounce.
From a fundamental standpoint, altcoin rallies have never occurred throughout the last quarter well. Entities such as VCs, MMs, and others that require money for EoY Financial Reports must seize earnings and liquidity. The macro view is also detrimental to tech startups globally, making it more difficult for altcoins to hold another significant rally.
Naturally, there are still several other coins with solid gains or a 5–10% price increase. However, BTC.D is expected to reach a level of 48%, and $BTC is likely to remind the market as a whole of who the king of this sector is. Perhaps ETH/BTC will start at 0.055x once more.
Despite all the volatility and commotion the cryptocurrency market has seen over the last two months, Bitcoin has mostly moved in a sideways fashion close to its 200-week moving average (MA), which has traditionally been a favorable buying opportunity.
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Source: https://coinpedia.org/altcoin/major-altcoin-crash-is-coming-heres-why-and-what-to-expect/