Recent data have shown that Bitcoin has performed quite strongly in 2020, particularly after the third halving which happened just last month. Although it has not been able to stay above $10,000 for long, it has also still not broken below $9,000 for a while now.
While the optimism of going back to the $10,000 price level seems far away, for now, a cryptocurrency analyst known as King Thies says Bitcoin will soon make a significant bounce above the price level soon.
This is in spite of the plunging volume that the asset is currently experiencing that has seen it bleed from mid $9k’s. King Thies says this dip may take the price down to $8,900, maybe even $8,300 but Bitcoin is likely to see a major bounce after that. His conviction is established on Bitcoin’s dominance which currently sits at 64.8%.
Bitcoin dominance is simply Bitcoin’s share of the entire cryptocurrency market. At 65%, this usually stagnates the price of altcoins until it drops for any reason.
This time, the dominance is ready to intensify and hence may have even more overwhelming effects. The market pundit asserts that money is likely to flow from altcoins into Bitcoin regardless of its price direction due to this, which is sure to pump the price.
Delayed Hope of an Altcoin Season
There has been a fresh expectation of an altseason recently among cryptocurrency enthusiasts. This hope may have been inspired by a sudden green market for altcoins in recent days, although it was short-lived. Some low cap altcoins recorded massive price gains of over 200%. Altcoins however have historically only thrived when Bitcoin’s dominance diminishes.
If Bitcoin’s dominance is about to rise steeper than 66% as King Thies predicts, it means altcoins will not be performing well and an altcoin season may not be feasible in the short term.
The crypto community however seems optimistic that an altseason is on the way no matter what happens, so if not now, maybe later. The market currently seems uneventful for both Bitcoin and altcoins, with most top cryptocurrencies in the red.
