Brilliant start to the new crypto-week
The market leader gets an optimal start into the new week and the bulls take the annual high in their sights. After a quiet weekend, investors’ attention is simultaneously focused on the traditional markets. Can a strong S&P 500 give the BTC price the necessary impetus? Let’s take a look at the market situation on Monday.
Bitcoin price on Monday
At the time of writing, the BTC is quoted at USD 16378, which is a daily gain of 1.83%. According to this, the bulls can secure the support area at 16000 USD as a basis. At the same time, the current annual high (USD 16463) is in sight. From a bullish perspective, the next resistances are at USD 16380, USD 16475 and USD 16600. On the downside, the trend line at 16200 could mutate into another support line if the bulls can confirm the current uptrend in the coming hours.
Bitcoin puts Altcoins in the shade
In the past 24 hours, BTC units worth USD 29.3 billion have been traded. In total, approximately USD 303.6 billion of the total market capitalization (approximately USD 467.6 billion) is in BTC investments. This corresponds to a BTC Dominance Index of 64.9 %. For comparison: Ethereum, the best known Altcoin, has a market cap of approx. 52 billion USD. Cardano, the current No.10 of the crypto charts, has a market capitalization of approx. 3.25 billion USD. The balance of power in crypto space is clearly regulated. The first mover is approaching a two-thirds majority, while the alternative assets have a shadowy existence.
Altcoins use BTC performance
While the Altcoins are losing more and more market share, some experts do not necessarily view this development critically. As long as “digital gold” sets the pace, the entire crypto market will profit from the progress of Bitcoin. In fact, Ethereum and Co. have been following the market leader at every turn for months. This behavior enabled many assets to survive the coronavirus crisis unscathed. Again and again Altcoin friends point out parallels to December 2017. After breaking through the 20000 USD mark, the Altcoins were able to take over at that time. Price increases of +30% were the order of the day and countless assets sprinted to a new all-time high.
Altcoin prices on Monday
With a share price increase of 12.42%, Litecoin can record the largest upward trend in the Top 50. Currently the “digital silver” is at a price of 70.68 %. Ethereum is holding above the important 450 USD mark on Monday (current price: 458.17 USD), while Ripple is up 3.40% again. In general, most of the Altcoins are showing smaller gains today.
What are the traditional markets doing?
Since the PayPal rally, experts have been arguing about the influence of the traditional markets. Due to the “encapsulation” the No.1 crypto currency works independently and volatile exchange rate fluctuations confirm this assumption. However, many experts see a serious danger in falling stock indices. Still the crypto space, compared with the gold market, represents a marginal niche. From this point of view, a look at Wall Street is worthwhile. On Monday, the S&P 500 starts the day with a plus of 1.14 %, the Dow Jones (+ 1.49 %) can even top this uptrend. According to this, the BTC bulls are in an optimal starting position for a new attack on the previous year’s high.