Bitcoin Binance report by the Malta-based cryptocurrency exchange shows that the all well-known altcoins are tailing the bitcoin price trend upside in the second quarter of 2019. In the coming altcoin news below we are reading more about the report.
The speed that the altcoins follow the number one cryptocurrency did experience a drop showing that the altcoin market as a whole did not really manage to run along with the supercharged Bitcoin rally. According to the report:
“Bitcoin (BTC) became less correlated with other crypto assets in Q2 2019 relative to the first three months of 2019,” read Binance. “Correlations declined between Bitcoin and altcoins, with a decrease in the average correlation of -0.11.”
A perfect positive correlation in retrospective, between two assets, shows their 100% probability of moving in the very same direction. Also, a negative one means that the two assets would run in the opposite direction so altcoins with a correlation score above 0.5 show a positive correlation between the assets.
The Bitcoin Binance report shows that Ethereum came really close to Bitcoin with a 0.81 positive correlation in the second quarter of this year down by only 0.889 from the previous quarter. XRP-to-Bitcoin correlation also dropped from the 0.875 in the Q2this year to 0.69 in Q1. The statistics show the same results to the rest of the cryptocurrencies including MIOTA, Bitcoin Cash, EOS, Litecoin, Bitcoin SV and others.
The leading cryptocurrency trapped more than 63 percent of the entire market valuation leaving other cryptocurrencies with small influence. Binance named it as a ‘’fight-to-quality behavior’’ which is a term used to indicate the investors’ partiality towards what they believe is the most bullish crypto asset. Excerpts from the report show:
“The overall market capitalization rose by 139%, whereas altcoin aggregated market capitalization (including stablecoins) increased by “just” 71 percent over the same period. This can likely be attributed to a “flight-to-quality” behavior by crypto investors in an early bull-market state.”
The statistics followed the similar findings of the Gabor Gurbacs of VanEck since it was noted that Bitcoin left all of the top ten cryptocurrencies and smaller cap altcoins behind in the past 12 months. As noted in some of the best cryptocurrency news sites, Binance reflected a shift in the investors on the crypto market but also on their mindset. They consider Bitcoin much safer now than most of the alternative assets.
Alex Kruger Believes Bitcoin Price Will Reach $50,000 By 2021
‘’Bigger picture, the upside is IMO considerably larger than the downside. Think $BTC will eventually break through $20K, in 2020 or 2021, and once it does, it should trade $30K, $40K and $50K fast. Must be long for when that happens, and enjoy the ride as others FOMO in.’’Currently, the price of the number one crypto assets is under resistance in the region above the $10,000 level and has settled in a range between $9,000 and $12,000. Kruger also noted the possibility of bitcoin dropping to $8,500 which is the midway point of the current performances for the year. Some other commentators stated that one of the reasons for the bitcoin retracement could be the CME futures gap. For Alex Kruger, filing the CME gaps is not a mere pointing to the absence of significant support or resistance as such price levels. The focus on the unfilled gapes just takes away from the never-ending trading activities occurring in the spot market. However, if bitcoin goes below the $9,000 price point, there is a chance of a huge fall to the $8,500 price mark. According to Kruger however, any further downward slide should be taken as a ‘’gift’’ or a buying opportunity which will help traders prepare for a fast upward movement beyond the current 2019 highs. While the signs all point for a bullish long-term for Bitcoin, Kruger believes that there are some strong headwinds for BTC. The profitability for miners is still high as long as the price of the number one asset remains positive. It will not be weird for miners to simply HODL not just for profits but revenue to be plugged in to cover the rest of the nodes as explained in the altcoin news previously.
Ethereum Could Climb Above $200 According To Analysts
- 4 hours RSI – The RSI for ETH/USD is currently near the 40 level, with a few positive signs.
- Major Support Level – $174
- Major Resistance Level – $200
What Drives BTC Below $10k This Summer: Analysis
Bitcoin Cash Is A ‘Wounded Animal’ Right Now: Analysts
“Looks as if it wants to pull a BTC like run soon. As long as it can close through resistance (0.035) I’ll suspect BCH is going to retest blue (0.075) which would be + 150% from here,” he said on Twitter.https://twitter.com/CryptoDonAlt/status/1160645331262070790 Nearly all of the altcoin pairs have a potential, however, since the Bitcoin dominance is still so high, Bitcoin Cash is among the altcoins with the most potential, BCH can register gains and on a shorter time frame will apparently test resistance, as a prominent CNBC trader with a handle 'Big Cheds' noted. https://twitter.com/BigCheds/status/1160681244436381696 All in all, Bitcoin Cash is in our latest cryptocurrency news. Even though it is one of those controversial digital assets that often draws a lot of attention, it is also one of the main altcoins which deserves a place in the spotlight.
“BCH is a wounded, volatile animal. A year from now it will struggle to stay above $100. The project was DOA from day-1. 90% of its market cap is the product of manipulation that will be impossible to meaningfully sustain," as described by the RT Anchor Max Keiser.https://twitter.com/maxkeiser/status/1160712205849059328
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