Bitcoin’s [BTC] gains through the course of April have made many question the progression of alternate cryptocurrencies, and whether their time came and went. With the king coin exhibiting bullish swings, anchoring market resurgence, and also increasing its dominance with every cycle, has the “altcoin season” passed?
eToro’s senior market analyst, Mati Greenspan, joined this debate after his daily newsletter claimed,
“The altseason has come to an end and bitcoin is the market driver once again.”
Based on Greenspan’s analysis, the “altseason” lasted for 51 days, the time period extending from February 10 to April 2. Over this period, Bitcoin was trailing several top cryptocurrencies with respect to market performance, leading to Greenspan proclaiming in early March that “it is now alt season.”
We the People
During the stated period, market capitalization for altcoins saw its first spike on February 24, rising by 9.37 percent while Bitcoin rose by only 5.79 percent. Altcoins’ market cap rose by $10 billion through March, spearheaded by several top-coins’ price gains. Over the same period, Bitcoin added merely $3 billion to its market cap.
Further, several isolated gainers more than doubled their valuation since the start of 2019. The world’s first altcoin, Litecoin [LTC], saw its value triple over the past few months, touching $96. Binance Coin [BNB] surged by over 400 percent, with some pegging it to be the “new BTC.” Even outside the top-10, many coins posted triple-digit long term gains, including Ravencoin [RVN], EnjinCoin [ENJ], Basic Attention Token [BAT] and Crypto.com Chain [CRO].
All hail the King
The king coin’s reign, according to Greenspan, began with the April 2 rally, which saw Bitcoin add over 15 percent to its price in less than 24 hours. This pump saw over $40 billion added to the collective market cap, with BTC adding to its dominance.
What clinched it for Greenspan and many in the cryptocurrency community was the recent April 22 price pump. Unlike other market movements, this one lacked a triggering effect, i.e. Bitcoin’s rise did not push the collective market up and major coins into the green, as historic charts attested to.
Altcoins were dropping to week-long lows, with the top coins seeing prominent leakages. Bitcoin Cash [BCH], Litecoin [LTC], EOS, and even XRP dropped by over 8 percent earlier in the week, as Bitcoin was holding on to its 4 percent daily gain.
Bitcoin’s upswing and the possibility of an imminent bull-run were evidenced by the charts as well. Beginning with the 200-day MA being shattered on April 2, with Bitcoin even breaking $5,000 with that particular rise. The next, more recent, swing saw the king coin break $5,350, a major support level in 2018, and breach the $5,500 mark.
However, the most notable indicator was Bitcoin’s realization of the Golden Cross on April 23. Pegged on the crossover of the 50-day moving average, ahead of the 200-day moving average, the Golden Cross indicates, according to many, the ushering of a bull market.
In the middle of the above indicators pointing towards a Bitcoin bull run and the reign of the king coin commencing, the market share of the coin also saw an incline. At press time, Bitcoin accounted for 54.6 percent of the global coin market, up by 8.42 percent since the close of March.
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