The last seven days have been good for investors BTC, because its value has increased by 18% over the week and now hovering around $7400 dollars. On the one hand, it’s good. But always gain the Bitcoin on the stock market rather negatively affects altonah that are dying a slow death throwing out 1000 red alarming signal flags, the newspaper notes Newsbitcoin.
Battle on the stock market
It’s been a week of mixed emotions for captainvalor. While BTC was in the trend, the market of altcoins went very sluggish, with a drop to lower lows and lower trading volumes, giving high hopes desperate to holders of tokens. Trading group Telegram was filled with depressing messages, as traditional support levels fell and price gains were destroyed. Only two assets, Stellar and Cardano, recently listed on Coinbase, in addition to the BTC showed growth. Almost every second allcoin has undergone a profound drop in the measured two-digit numbers.
The dominance of Bitcoin is now around 45%, which is the highest figure since April. This may be partly due to the expectation of the forthcoming permits the SEC to ETF amid increasing interest from institutional investors.
But, as evidenced by the conclusions of the analysts, when there is an increase in value of Bitcoin, the rest of the cryptocurrency market is suffering.
Although this fact can be considered a very relative, since virtually all scriptactive suffered from the fall of the stock market since the beginning of the year. And BTC decreased by 63%, compared to its record high, but these losses are relatively mild compared to losses of individual altcoins.
Why investors ignore altcoins?
Compared to the previous month, the majority of altcoins have suffered major losses. Ripple and Tron decreased by 88% from the highs, Cardano 87%, and Dash to 85%. The hopes of January, when the entire market was convinced that their promising altcoins soar in to the skies and will remain there for a long time long gone.
Subsequent fall of altcoins, which were the main favorites of the media in the beginning of the year, Ripple, Iota, and Tron can be attributed, in part, to reactions of novice investors who got scared as soon as the market showed a drop.
The revival of Bitcoin in recent weeks and the failure of altcoins to increase on the level with him, scared novice investors too early were burned and now have decided to stay away from altcoins. The fall in the value of altcoins is associated with the fact that many people are afraid to buy BTC when it was trading at record levels, investing in altcoins, but now they have a chance not to miss the opportunity as the first time. Now none of them expressed interest in altonah, despite the fact that many of them are reduced 5 times.
According to analysts, investors may be cautious but they should not be stupid.
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