Connect with us
[crypto-donation-box]

Blockchain

Bitcoin Dominance In December: Why The Future Of Altcoins Hinge On This Month’s Close

Bitcoin is well above its former all-time high, but the “alt season” where altcoins explode in value relative to the top-ranked cryptocurrency has yet to arrive. BTC dominance, a metric weighing all other crypto assets against Bitcoin is facing a pivotal monthly close that could jeopardize any chances of a greater altcoin market recovery. Here’s […]

Republished by Plato

Published

on

Bitcoin is well above its former all-time high, but the “alt season” where altcoins explode in value relative to the top-ranked cryptocurrency has yet to arrive.

BTC dominance, a metric weighing all other crypto assets against Bitcoin is facing a pivotal monthly close that could jeopardize any chances of a greater » Read more

” href=”https://www.newsbtc.com/dictionary/altcoin/” data-wpel-link=”internal”>altcoin market recovery. Here’s why the future of alts like Ethereum, XRP, and more, hinges on the December 2020 monthly close.

Bitcoin Dominates Crypto Market Interest, Will » Read more

” href=”https://www.newsbtc.com/dictionary/altcoin/” data-wpel-link=”internal”>Altcoin Season Ever Return?

Rewind to any point over the last three months as a bullish Bitcoin approached $20,000, and most crypto analysts who were around during the last market cycle, fully expected alt season to happen almost immediately after the top cryptocurrency took out its former all-time high.

That moment has come and gone, yet altcoins have only been taken a further beating for it. Many altcoins are increasing in USD value, presenting the guise of positive price growth.

But switching over to the same altcoins trading against BTC, few have managed to perform anywhere near as well as Bitcoin.

Related Reading | Entrepreneur Calls Ethereum Silver To Bitcoin As Digital Gold, Not Litecoin

A strong Bitcoin while altcoins struggle, results in BTC dominance increasing. The total crypto market cap is roughly $636 billion, of which Bitcoin makes up exactly two thirds currently at 66.7%.

At the lowest reading of BTC.D ever, altcoins left Bitcoin only with a third of the market share, but the tables have since turned. And with Bitcoin more bullish than ever and with an entirely different asset class behind the capital pouring into crypto altcoins are at risk of becoming only a mere fraction of the total crypto market capitalization.

bitcoin dominance btc.d macd

The MACD indicator will cross bullish with a December close above 66.7% | Source: CRYPTOCAP-BTC.D on TradingView.com

Three Technical Indicators Suggest BTC Dominance Will Soon Soar, Crush Alts Further

The first of the bullish (for Bitcoin) signals that could send altcoins further into a bearish state, is the MACD on monthly timeframes pictured above. The short-lived DeFi “summer of love” turned the histogram back red for the first time since July 2018, but as of December, the histogram has turned green again.

Coinciding with the histogram flipping bullish, there’s also a bullish crossover of the two moving averages depicted on the MACD. The last bullish crossover sent dominance from roughly 40% to 70%, and another crossover is forming now. A monthly close is required to confirm the crossover, so there’s still time for » Read more

” href=”https://www.newsbtc.com/dictionary/altcoin/” data-wpel-link=”internal”>altcoin bulls to stop big » Read more

” href=”https://www.newsbtc.com/dictionary/bear/” data-wpel-link=”internal”>bear Bitcoin from swatting them down further.

bitcoin dominance btc.d bollinger bands

BTC dominance closing above the middle-BB could confirm a move higher | Source: CRYPTOCAP-BTC.D on TradingView.com

Next, the Bollinger Bands on monthly timeframes are also showing just how in danger of extinction altcoins are currently. A close above or below the middle-line moving average can be used as a confirmation to buy or sell.

Related Reading | This Bearish Chart Pattern Could Cut The Crypto Altcoin Market Cap by 50%

Assets closing beyond the middle-line often result in the price action tagging the other side of the band. This means that if December closes above the middle-line, a retest of the top band and over 70% dominance is likely. Failing to close through the middle-line, could bring alt season to the crypto market finally.

bitcoin dominance btc.d ichimoku

Ichimoku is giving bullish signals, but BTC.D must get its head above the clouds | Source: CRYPTOCAP-BTC.D on TradingView.com

But if BTC dominance can close outside of the Ichimoku cloud in December, all bets are likely off for altcoins for the time being. When assets trade above the Tenkan-Sen (blue line and corresponding arrow) they’re considered bullish.

The Tenkan-Sen above the Kijun-Sen is also a signal that a bullish trend is underway. The significance of each crossover is depicted with red and green arrows.

Closing above the cloud or “Kumo” on the Ichimoku indicator on monthly timeframes on BTC.D would be a signal of doom for altcoins. The remaining source of hope, however, is also in the cloud itself.

The Kumo projects future price action, and in this case, the cloud being red potentially hints at bearish price action ahead for BTC.D. If the monthly December close on BTC.D ends up above any of the key levels, expect altcoins to remain bearish compared to Bitcoin. But if things reverse from here, and the close is below any of these crucial zones, then an alt season could finally be coming.

Featured image from Deposit Photos, Charts from TradingView.com

Source: https://www.newsbtc.com/analysis/btc/bitcoin-dominance-in-december-why-the-future-of-altcoins-hinge-on-this-months-close/

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Blockchain

Ethereum Co-Founder Vitalik Buterin Burns $6.7 Billion in Shiba Inu (SHIB) Tokens

Republished by Plato

Published

on

Vitalik Buterin, who was gifted half of Shiba Inu’s total supply, has burned 90% of his holdings worth nearly $7 billion. The Ethereum co-founder further said he would allocate the remaining 10% to charitable organizations while also praising the “dog token community” for its generosity.

Buterin Burns $6.7B in Shiba Inu

The Dogecoin rise to the top led to the creation of numerous copycats that garnered significant attention in the past several weeks. Perhaps none became more popular than the self-described DOGE-killer – Shiba Inu.

One of the compelling features came from the anonymous developers who decided to send half of the total supply to Vitalik Buterin – the co-founder of Ethereum. The other half remains locked for liquidity on Uniswap.

Buterin, who donated 50 trillion SHIB tokens (and other dog-related digital assets) to India Covid Relief Fund last week, has decided to burn the majority of his Shiba Inu holdings now.

“I have decided to burn 90% of the remaining Shiba tokens in my wallet. The remaining 10% will be sent to a (not yet decided) charity with similar values to CryptoRelief (preventing large-scale loss of life) but with a more long-term orientation.” – he explained in the transaction hash.

Buterin outlined the severe problem COVID-19 has created for the entire world and added, “it’s important to think about the longer term future too.”


ADVERTISEMENT

Upon the time of the transaction, the 410,24 trillion SHIB tokens Buterin sent from his wallet had a value of about $6.74 billion.

The booming popularity of SHIB caused a massive price surge in the past few weeks. It culminated in an all-time high at nearly $0.00004 after a listing on the world’s leading crypto exchange – Binance.

The Generosity of Dog People

Ethereum’s co-founder touched upon his aforementioned decision to donate a substantial amount of his dog tokens to charity organizations.

“Plenty of dog people have shown their generosity and their willingness to not just focus on their own profits but also be interested in making the world as a whole better.”

However, he also attracted some heat following his actions as some angry developers created coins with offensive names. As such, he urged the community to refrain from sending him new tokens without his consent in the future.

“I don’t want to be a locus of power of that kind. Better to just print the coins into the hands of a worthy charity directly (though do talk to them first.)”

SPECIAL OFFER (Sponsored)

Binance Futures 50 USDT FREE Voucher: Use this link to register & get 10% off fees and 50 USDT when trading 500 USDT (limited offer).

PrimeXBT Special Offer: Use this link to register & enter POTATO50 code to get 50% free bonus on any deposit up to 1 BTC.

You Might Also Like:


Coinsmart. Beste Bitcoin-Börse in Europa
Source: https://cryptopotato.com/ethereum-co-founder-vitalik-buterin-burns-6-7-billion-in-shiba-inu-shib-tokens/

Continue Reading

Blockchain

$2.38 billion ‘rekt’ in crypto markets as Bitcoin drops to $43,000

Republished by Plato

Published

on

Over $2.38 billion worth of Bitcoin and other cryptocurrencies were liquidated in the past 24 hours as the market fell by double-digit percentages, data from multiple sources showed.

Money gone

‘Liquidations,’ for the uninitiated, occur when leveraged positions are automatically closed out by exchanges/brokerages as a “safety mechanism.” 

Futures and margin traders—who borrow capital from exchanges (usually in multiples) to place bigger bets—put up a small collateral amount before placing a trade. If the market moves against them, the collateral is fortified and the position said to be ‘liquidated.’

Yesterday saw nearly $3 billion getting liquidated. $1.26 billion of that, as the below image shows, came from Bitcoin trades alone, with Ethereum trades ($515 million), Ripple trades ($80 million), and Dogecoin trades ($69.42 million) trailing in behind.

Image: Bybt

Overall, $1.78 billion worth of liquidations came from ‘long’ positions, or from traders borrowing capital to bet at higher asset prices. $345 million came from ‘short’ positions, or traders betting for lower prices (prices did fall lower, but the volatility may have contributed to even ‘shorts’ getting liquidated.)

Among all exchanges, Huobi saw over $633 million worth of liquidations, Binance saw $399 million, while options powerhouse Deribit saw liquidations worth $287 million.

In all, over 300,000 traders were liquidated, with the single largest liquidation occurring on crypto exchange Huobi—a Bitcoin to the tune of $90 million.

Musk’s Bitcoin scare

As such, the market pullback started shortly after Tesla CEO Elon Musk tweeted with regard to the carmaker’s $1.5 billion Bitcoin position on Sunday. “Mr. Whale,” an anonymous account on Twitter popular for their market calls, wrote yesterday that Bitcoiners would ‘slap themselves’ after they find out Tesla ‘dumped the rest of its Bitcoin holdings.’

It could have been probably a joke or a mere opinion from someone on the internet. But Musk replied to that with a single word: “Indeed.”

At press time, however, Musk put to rest the thousands of ensuing tweets that Tesla had, indeed, sold the remaining of its Bitcoin. “To clarify speculation, Tesla has not sold any Bitcoin,” he said in a reply to ‘Bitcoin Archive.’

The market rose shortly after that. But is one man’s tweets have such an impact on crypto justified?

Get an edge on the cryptoasset market

Access more crypto insights and context in every article as a paid member of CryptoSlate Edge.

On-chain analysis

Price snapshots

More context

Join now for $19/month Explore all benefits

Like what you see? Subscribe for updates.

Coinsmart. Beste Bitcoin-Börse in Europa
Source: https://cryptoslate.com/2-38-billion-rekt-in-crypto-markets-as-bitcoin-drops-to-43000/

Continue Reading

Blockchain

‘The next bitcoin’ can only be…

Republished by Plato

Published

on

With blockchain technology getting upgraded and refined on a daily basis, not all coins and tokens can thrive and sustain themselves in this competitive environment. Only a few of them would be able to be resilient and shield themselves, while the rest of them would eventually cease to exist.

In a recent appearance on CNN’s Squawk Box, CEO of Insider, Henry Blodget puts forward his perspective on the future of blockchain technology. He said,

“There are good fundamental reasons why we may have cryptocurrency and blockchain in the future… but that doesn’t mean dozens of cryptocurrencies are going to do well forever.”

Blodget further stated that the price of the not-so-big cryptos would not go up forever. At the same time, he also pointed out his concerns with respect to the flagship cryptocurrency and said,

“I think with Bitcoin, the big issue is that everyone understands that it is actually not well designed as a transaction currency. It is very resource-intensive.”

He further contended that the cryptoverse would end up inclining itself to a much more better-designed cryptocurrency. 

Others from the industry, however, stated the contrary. Co-founder of Twitter, Jack Dorsey recently took Twitter to state,

“Bitcoin changes everything for the better and we will forever work to make Bitcoin better.”

Underlining the fact that more than $18 billion of Bitcoin transaction volume was executed on-chain in the past day, Anthony Pompliano exclaimed,

“Bitcoin is inevitable.”

CEO of MicroStrategy, Michael Saylor, also recently asserted that Bitcoin would eventually rise to a million, despite the short-term setbacks it faces. He further said, 

“Bitcoin is something that you hold for a decade or decades… If you bought Bitcoin, you could lose money in a year or two or three, but over the course of four years, nobody ever lost money in Bitcoin. That’s the story with most of the dominant networks.”

Source: Glassnode

However, it should be noted that Bitcoin’s market dominance has been dropping since March. Additionally, with altcoins currently holding the baton, the number of addresses holding more than one Bitcoin reached a 7-month low of 812,286. What’s more, Bitcoin’s trading volume has also been evidently fluctuating over the past month.

Nonetheless, Danny Scott, CEO of CoinCorner went on to hypothesize on the ‘next bitcoin’. He stated:

“The next Bitcoin is Bitcoin.”


Sign Up For Our Newsletter


Coinsmart. Beste Bitcoin-Börse in Europa
Source: https://ambcrypto.com/the-next-bitcoin-can-only-be

Continue Reading
Blockchain5 days ago

First Spot: Coinbase’s App Surpassed TikTok, Instagram, and Facebook on iOS in the US

Blockchain5 days ago

Raze Network Kicks Off Testnet Phase With UI Community Voting

Blockchain5 days ago

dotmoovs Raises $840,000 From Strategic Investors and Partners

Blockchain3 days ago

US Investment Bank Cowen to Offer Crypto Custody Services

Blockchain5 days ago

How did Internet Computer (ICP) become a top-10 cryptocurrency overnight?

Blockchain5 days ago

Casper Network’s CSPR Spot Trading Now Open on OKEx

Blockchain5 days ago

When dollars meet the hype: The biggest NFT hits from celebrities

Blockchain5 days ago

PARSIQ Integrated Into Polkadot For Smart Triggers Across the Relay Chain

Blockchain5 days ago

DeFi lending platform Aave reveals “private pool” for institutions

Blockchain5 days ago

From cypherpunk to state contracts: the changing face of blockchain

Blockchain5 days ago

MoneyGram to Enable Users to Buy Bitcoin and Withdraw it From Birck-and-Mortar Locations

Blockchain5 days ago

Griff Green: Doge-loving hippy hacker steals crypto before bad guys can

Blockchain5 days ago

Here are the Top DeFi Tokens With The Largest Price Jumps This Week

Blockchain5 days ago

As Elon Musk’s SpaceX Literally Sends Dogecoin To The Moon, Justin Sun Craves For Tron to Tag Along

Blockchain4 days ago

Buterin Plugs UNI as Next Oracle Token

Blockchain5 days ago

Can Elon Musk’s ‘damage control’ measures help revive Dogecoin’s price?

Blockchain5 days ago

Ethernity Chain Immortalizes Tony Hawk’s Last 540 Skate Trick With NFT

Blockchain5 days ago

Gaming Giant Kinguin Taps Immutable X for NFT Offering

Blockchain5 days ago

ConsenSys-Backed Virtue Poker to be Launched on Superstarter, SuperFarm’s Launchpad

Blockchain4 days ago

Bitwise Launches ‘Crypto Innovators’ ETF

Trending