It seems as though base building and bullish trend reversal are complete for bitcoin as it is steadily gaining lost ground. The ‘crypto king’ even briefly touched $12,000 before a slight correction.
Bitcoin’s medium-term outlook remains bullish. It is however not all sunshine and rainbows for altcoins. Most altcoins are succumbing to selling pressure and producing a lackluster performance as most of the traders’ and investors’ attention is clearly focused on bitcoin’s snap back.
Traders And Investors Are Rather Bullish On Bitcoin But bearish On The Fate Of Altcoins
With bitcoin looking strong, altseason could be delayed further because, at the moment, most altcoins are showing a sputtering momentum, as aforementioned. This has led to most crypto traders and proponents expressing their bullish bias for bitcoin while remaining wary of altcoins.
Josh Rager, renowned online crypto trader, and investor tweeted that after bitcoin recently experienced a 30% pullback, the next expected move would be an average gain of 153% before experiencing another major pullback. “We had our 30% pullback so what’s next? History says that price consolidates followed by an average gain of 153% before the next big pullback. There are great rewards for buying pullbacks in a bull market,” stated Josh.
He also cautioned that most altcoins’ prices will continue to dwindle until bitcoin’s dominance dropped tweeting, “Majority of altcoins can continue to retest support until BTC dominance drops (which could happen near these levels) so pay attention.”
Another twitter crypto trader known as Moon Overload said in a recent tweet, “There’s likely time to dump your alts before the next BTC move up.”
Finally, Fundstrat Global Co-Founder Thomas Lee rooted for bitcoin saying that as the US celebrates its Independence Day today, 4th July, Bitcoin (BTC) is “ready to make its own fireworks”. He tweeted, “July 4th is Independence Day in the US, a time for celebration and fireworks (day off from work hopefully). Some might say BTC ready to make its own fireworks.”
Bitcoin, The Undisputed King
Bitcoin’s dominance currently stands at 63% with a total market cap of $207,908,327,910. Bitcoin attained a new intraday high hitting $12, 050. If bitcoin breaks the $12,000 resistance level, which is very likely, there could be more gains and altcoins could potentially sink lower in the process.
A report by SFOX, a cryptocurrency analytics site dated July 3rd stated that bitcoin is likely to witness a price surge today, United States’ Independence Day. The report suggested that historically, bitcoin prices tend to surge in days following holidays like Christmas and New Year, case in point, the 2017 bull run witnessed after Thanksgiving.
The analysts noted, “At times when the market is already doing well or improving, holidays have the potential to drive renewed retail interest in buying bitcoin and other cryptocurrencies. That behavior, almost by definition, is FOMO: buying into an asset because one sees it trending upward and wants to benefit from it.”
This report goes further to say that during the two weeks Spring Festival celebrated in China back in February 2019, the price of bitcoin rallied from $3419.17 to 3908.97 and hitting $4027.83 in the days that followed.
As it appears, bitcoin may experience a major price uptick today and/or in the coming days following today’s US holiday. The question on everyone’s mind is, will altcoins follow suit or will their prices plummet further?