I have decided to analyze further the BTC dominance. Read below.
This is a multi-timeframe analysis: Divided onto the following tf's: weekly, daily, hourly.
Daily:
We are clearly testing an important level of support on the daily time, this is followed by an unconfirmed bullish divergence on the 1 day tf. We can observe that based on fib-trend based extension we got rejected previously at the .786 opening the doors to a dead cat bounce scenario, imho, breaking this important support would trigger a big alt-coin season, but in the other hand, holding this support, would make a lot of people lose a lot of money on alt-coins.
Weekly:
This bullish divergence can also be observed on the weekly timeframe.
Hourly:
Going even further into the 4H timeframe, we can observe that as of now we are trading in a descending channel, which even if brakes up, the downward pressure wont stop until seeing a surge above the upper resistance on the resistance ranges marked above, we can see on the contrarily that there is a strong support below it, imho, I think we will be trading sideways in this range for the next few days.
My personal take on alt-coins:
Regardless of there being good projects, that won’t mean price will raise, what makes something worth a certain amount is what people think is worth, that is why imho the alts that outperform BTC, aren’t the ones that should outperform it, just the ones most hyped about. For instance there are great stocks in the traditional market that are under fair price, because people aren’t interested on them, why? Because there is no hype around them, and on the other hand you have Tesla overvalued against its fundamentals. That is why I think they are not good. At the end of the day, the game is about playing the game, and my game is to make the most amount of money I can humanly make.
That being said, what you people don’t understand is that I don’t care about raise in altcoins against USD, I care about a raise against BTC. For instance ADA which is a good altcoin, raised to ATH compared to USD, but compared to BTC it didn’t.
This was is just a word of caution, not meant to be rant.
I wish you all the best luck!
Daily:
We are clearly testing an important level of support on the daily time, this is followed by an unconfirmed bullish divergence on the 1 day tf. We can observe that based on fib-trend based extension we got rejected previously at the .786 opening the doors to a dead cat bounce scenario, imho, breaking this important support would trigger a big alt-coin season, but in the other hand, holding this support, would make a lot of people lose a lot of money on alt-coins.
Weekly:
This bullish divergence can also be observed on the weekly timeframe.
Hourly:
Going even further into the 4H timeframe, we can observe that as of now we are trading in a descending channel, which even if brakes up, the downward pressure wont stop until seeing a surge above the upper resistance on the resistance ranges marked above, we can see on the contrarily that there is a strong support below it, imho, I think we will be trading sideways in this range for the next few days.
My personal take on alt-coins:
Regardless of there being good projects, that won’t mean price will raise, what makes something worth a certain amount is what people think is worth, that is why imho the alts that outperform BTC, aren’t the ones that should outperform it, just the ones most hyped about. For instance there are great stocks in the traditional market that are under fair price, because people aren’t interested on them, why? Because there is no hype around them, and on the other hand you have Tesla overvalued against its fundamentals. That is why I think they are not good. At the end of the day, the game is about playing the game, and my game is to make the most amount of money I can humanly make.
That being said, what you people don’t understand is that I don’t care about raise in altcoins against USD, I care about a raise against BTC. For instance ADA which is a good altcoin, raised to ATH compared to USD, but compared to BTC it didn’t.
This was is just a word of caution, not meant to be rant.
I wish you all the best luck!