Altcoins Facing Bearish Downturn: Is There Hope on the Horizon?

by

With Bitcoin (BTC) currently showing a significant downward trend and causing market anxiety, one might wonder about the fate of other cryptocurrencies, or altcoins. Are there glimmers of hope on the horizon, or should we brace ourselves for a broad-spectrum collapse?

For individuals with altcoin investments, the ongoing slump in the cryptocurrency market is undoubtedly troubling and hard to endure. The question now arises: Is it wise to sell and later re-enter when the market hits rock bottom, or are we on the verge of a resurgence?

Total3 could be heading to $800 billion 

The Total3 graph shows the aggregate market value of all cryptocurrencies, except for Bitcoin (BTC) and Ethereum (ETH). Currently, the price has dropped below the 0.382 Fibonacci level, potentially continuing to decline towards the 0.618 Fibonacci level. This downward trend might extend to where the bull flag’s top was reached in late March 2024.

Bitcoin Dominance stops at 58% or climbs past 62%?

As a crypto investor, I find myself pondering over the Bitcoin Dominance chart (BTC.D). What seemed like a clear dip beneath the ascending channel initially, surprisingly morphed into a surge back within the channel. However, there appears to be a potential trendline forming that could potentially push dominance away from the 58% level. If this trendline fails to hold and dominance manages to burst through it, along with horizontal resistance, we might witness a rise that propels dominance to the upper limit of the channel, possibly surpassing 62%.

Having the courage of one’s convictions

Given the widespread negativity in the cryptocurrency sector, it’s understandable that many investors might find it tough to resist the urge to sell off their holdings and potentially exit the crypto market entirely.

To put it simply, investing isn’t for the faint-hearted or those unwilling to stand by their decisions. Historically, such investors often find themselves overwhelmed by market forces without mercy.

In contrast to past market trends, the ongoing bull run isn’t following the usual patterns we’ve seen before. The times where certain altcoins could experience extraordinary growth due solely to hype and speculation might be a thing of the past.

While it’s true that some alternative cryptocurrencies (altcoins) may thrive during significant transformations in the financial industry, as well as other sectors, it’s crucial to conduct thorough research on their underlying fundamentals. Despite this, holding onto these altcoins requires a strong conviction and willingness to endure through challenging periods.

Read More

2025-01-13 20:47