Is Altseason Back? Here Are Some Positive Indicators from the Crypto Market
Ethereum [ETH] has outperformed Bitcoin [BTC] in the post-having bull run in the crypto-markets. Moreover, many other cryptocurrencies are recording hefty gains in the market as well.
The rise in Ether after the dump during the halving weekend is 27.3%, while that of Bitcoin is 9.25%. In the last year, since the parabolic move to $14,000 Bitcoin price has led Ethereum and other altcoins with a continual increase in dominance. However, with considerable liquidity in USD-stablecoins and cryptocurrency exchanges, altcoins are beginning to look positive again.
Among other top cryptocurrencies, Cardano [ADA] posted strong gains of over 40%, with Stellar Lumens [XLM] gaining over 30% in the last two weeks.
In a report by leading crypto analytics firm, Coinmetrics, it notes,
[Recent] market movements in response to mainnet launches, new product upgrades, and exchange listings are reminiscent of late 2017.
Moreover, OmiseGo has surged over 150% after the Coinbase listing announcement and USDT (Tether) integration. Stablecoin growth on top of a blockchain-based network like Ethereum, Tron, Algorand, EOS, Binance Chain, and so on are promoting a ‘freedom of exit’ for investors looking to invest in decentralized cryptocurrencies.
Bitcoin Dominance Break-Down Point
The dominance of Bitcoin over the crypto markets is currently looking to establish support above the 50-period EMA (Exponential Moving Average) at 65.6%. The parallel range between 64.2-66% is acting as resistance to the break-down for an alt-season.
Furthermore, the rise in the transaction fees and expansion of the mempool (‘memory pool’) after halving might motivate users to look for lower fees. Nevertheless, the stability in the BTC network is looking to restore to pre-halving speed and transaction costs. However, the price action of Bitcoin in case of bears could accurate an altcoin sell-off, as the fundamental basis for their growth is still as not as strong.
Do you think that altseason is here or is it another fake-out before market dumps? Please share your views with us.
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Disclaimer
The views, opinions, positions or strategies expressed by the authors and those providing comments are theirs alone, and do not necessarily reflect the views, opinions, positions or strategies of CoinGape. Do your market research before investing in cryptocurrencies. The author or publication does not hold any responsibility for your personal financial loss.
Nivesh from Engineering Background is a full-time Crypto Analyst at Coingape. He is an atheist who believes in love and cultural diversity. He believes that Cryptocurrency is a necessity to deter corruption. He holds small amounts of cryptocurrencies. Faith and fear are two sides of the same coin. Follow him on Twitter at @nivishoes or mail him at nivesh(at)coingape.com
Published at Thu, 04 Jun 2020 13:07:53 +0000
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