Bitcoin Forum

Hi guys, I understand that this question is probably obvious, but I'm wondering. What is the actual principe of Altcoin and Bitcoin relation? Why when Bitcoin price falls, Altcoin price falls too and vice versa?

Bitcoin is like a father to the altcoins while altcoins are the children that has continued to increase in number on a daily basis. Whatever happens to the father affects the children and vice versa. I think this relationship is derived from the fact that one technology is driving the coins and that is blockchain tech which is being oiled primarily by bitcoin. I believe the survival of bitcoin will determine the faith of altcoins.

Well, as we all know, the crypto world clearly has started mainly because of bitcoins. Which is why bitcoins are pretty famous nowadays and may be the main reason why most of us are here in the first place. Which is probably why it is the king of all the cryptos currently existing today having the highest value in the market. And this is also the main currency that is being used widely all over the internet for pseudo anonymous transactions or investments by most of the crypto lovers out there. I think those facts alone already explains why every other coins are affected whenever the price of bitcoins ever decreases or rises either gradually or drastically.

Hope this somehow helps to clear up your mind about this matter.

Bitcoin is the foundation of all the cryptocurrencies,altcoins are being traded with bitcoin that is why these altcoins rely into bitcoin's price it means if Bitcoin has moved regardless it is going up or down most common reaction of the altcoins will bleed,the only time that these altcoins grows is when bitcoin's price has stabilized or gone sideways.

Bitcoin is the thermometer of altcoin market, it is the base holding all of them, if it collapse evrything is collapsing, some of them less, this is the good and solid altcoin like NEO

This is true,i have noticed that whenever Bitcoin has move regardless if it going to bull or bearish the altcoins are bleeding and you are right with your statement these altcoins are growing whenever bitcoin has stabilized,eitherway we should stick with bitcoin and solid altcoins when the marketcap is failing so we wont be trapped with most of the shitcoins in the market.

Well, bitcoin like a father for alt altcoin or fiat currency on a crypto world to exchange altcoin to others altcoin (I think). For the case of altcoin down it usually does not have too much effect on bitcoin so cannot be exactly vice versa.

we all know that is like that and will not change.if you hold great coins you can make more than if you hold bitcoin.Faster grow like VEN

the biggest ones in this market are btc and eth. btc is very mobile. so it scares the investors. but eth is more stable so it gives confidence to its investors. There is a different relationship between them.

What i observe and the relation between altcoin and bitcoin are
They rely on it when btc moves they also do it will continue to be that way for a long time until there is another altcoin more accepted and popular than bitcoin.

I'll give you an example : Bitcoin acts like the boss of a company while altcoins are just employees. This is due to the precedence of BTC over all other coins & as you know BTC is the strongest & the most expensive market coin

 I think its because bitcoin is the market leader and a storage of value for crypto currencies, just like gold is for Fiat

Bitcoin is the father of all the cryptocurrencies that is why it is dominant in the market,as the father of all these coins bitcoin will dictate what will happen to  his children which is the altcoins,it is morelikely a dictator/comanding officer in a platoon of soliders,which means altcoins movements will only follow one coin which is the bitcoin.

Altcoin price was pegged to the bitcoin, if bitcoin falls and that gives an impact to the price of altcoin at least the dollar value of altcoin will get decrease a lot. But altcoin is more stronger on the bitcoin pair.
As far as i know there is no relation between bitcoin and altcoin because crypto depends on the trend itself.

I think that when bitcoin price drops, weak hands start selling their their altcoins for bitcoin to cash out, which makes the price of altcoins drop as well.

Well, As the head of digital cryptocurrency being the strongest expensive coin in the market. It follows the alternate cryptocurrency because they are dependent of the supply and demand of bitcoin due to trader who wanted to trade with the highest currency exchange to make it profitble. As it base on a stock market is concerned.

In most exchanges the alts are referenced to the price of bitcoin and for that reason they tend to follow the movements of bitcoin. Sometimes however they diverge depending on the expectations.

Yeah, people mostly switch to bitcoin after fall cause they think they can make more money if they do that. And since altcoins are being traded with bitcoin I see this that when bitcoin falls, altcoin follows.

There is no principle of relation between Bitcoin and Altcoins. The only relation is created by market and investors. A lot of investors try to guess certain coin price compared to Bitcoin.

We can say that bitcoin is a dictator and altcoins are the followers of bitcoin,if bitcoin's wants anything to happen the followers will all follow,thus it means that if bitcoin is going to fail most of its successors will follow its path,because most of the altcoins are being traded with bitcoin that is why these altcoins are reacting whenever bitcoin is moving regardless of going up or down.

This might have something to do with alts being traded in pair with bitcoin. If perhaps the price of alts are paired with USD, we might see a more diverse market of different cryptos independent of the price of bitcoin.

the relationship between bitcoin and altcoin is now very tight, altcoin will decrease or increase in price when bitcoin fluctuates. so the increase or decrease of bitcoin will affect altcoin because buying and selling altcoin will be affected where a lot of users sell or buy altcoin by using bitcoin.

I agree with your idea mate because it is what really is happening in terms of Altcoins relation to Bitcoin and the market of course. We can clearly see that when there is a price correction wherein Altcoins are much affected when Bitcoin's price starts to fall. Maybe because majority of traders uses Bitcoin as trading pair on every exchange due to it's higher value compared to any other pairs. It could also be a reason that Bitcoin is the most popular all over the world because it is widely used and accepted as a form of payment.

Bitcoin is the US dollar of cryptocurrencies,usually people buy Bitcoins and use that to buy other cryptocurrencies.When the price of Bitcoin goes up people dump altcoins to join the price pump and so altcoins usually drop in price for a while before rising because people will now  have to spend more to buy alts if they don't buy within the time being

I thought the same, and actually continue to think this way. I asked this question in purpose to to learn the process more deeply. I'm interested in the technical aspect of their so called 'relation', i.e how it actually works. And I'm also having some doubts about this 'weak hands start selling their their altcoins' theory, because the popularity of BTC decreased, it's not often used for transactions and it's not a platform for ICOs. So, people are investing into Ethereum, which volatility is smaller, and other new interesting alts. So my doubt is - is it going on to be that way? Do people really start selling their their altcoins for bitcoin to cash out? Of course, there are a lot people, who still do that, but there are also many people, who prefer to hold good alts.

... Yes their relation is just like a family that bitcoin rules like the head of the family while altcoins are the members because as we observed they are both crytocurrency produced by the blockchain technology. They are all electronic currencies that are the same concept.

Questions like these I often hear. If I think that bitcoin and altcoin are interrelated. bitcoin is the first digital money. whereas altcoin is present after bitcoin, then followed by other coins. So bitcoin is used as an investor guide for transaction activity. and some investors use other altcoins and are still guided by bitcoin prices.
When bitcoin lowers altcoin also goes down. and vice versa.

There is obviously a definite relation between bitcoin and altcoins, but the exact relation itself is tough to describe due to the extreme volatility of this crypto market. According to me and many others, bitcoin has, is and shall always be the king of the crypto world and the altcoins will always depend on bitcoin in some way or another. For example, most altcoins cannot be purchased directly and we need to purchase bitcoin first before trading them for the respective altcoins that we wish to purchase. Bitcoin and altcoin values are directly proportional to each other some times and inversely proportional to each other sometimes.

according to myself because Bitcoin is one of the mains of all coins because if the price of Bitcoin goes up then all Altcoin will also go up.

BTC which is the the first known coin was founded and become successful, many professionals and businessmen come up with the idea to follow the path of BTC in which they create their own coins with the concept of their products will be backed up by utility token like hitting two birds in one stone. All coins after BTC were called altcoins but most of the holders are depending to BTC in which if BTC price will fall it will create domino epic creating panic to the altcoin holders in which they will sell their altcoins too.

It's the first thing that comes out of people's mind when they think of crypto currency or digital currency. A lot of people are ignorant, that's why they correlate altcoins to bitcoin.

Altcoins were made solely because of bitcoins. That is the reason why currently bitcoin is too popular and that may be the cause why we are in the crypto market now. I believe Bitcoin is the mother of all altcoins an the reason why of all it has the biggest value of all coins. All altcoins maybe converted to bitcoins according to its value. Almost all coins are being affected with its price when it comes to the value every now and then. The changes of this prices sometime are being dictated by supply and demand of each altcoins in connection to bitcoins value.

First crypto coin made was bitcoin  and after the speculation that what if bitcoin will down how coud crypto currency to be suopprtive.This is the reason why alternative coin or altcoin exist to support the cryptocurrency.

for that you can look for comparison in exchange ,.
or one simple example. bitcoin is a virtual currency that is always held by merchants and investors. all trades will involve bitcoin. it is the reference of all altcoins.

the "vice versa" is not true actually.
the price relationship between bitcoin and altcoins has always been a weird one in my opinion. whenever bitcoin is either rising or falling, altcoins fall down. i suspect this has something to do with the fact that everyone wants more bitcoin and every trader cashes out of altcoins into bitcoin to take advantage of that market when it is moving.

the only time that altcoins rise is either when they are getting pumped without paying attention to what bitcoin is doing or when bitcoin is stable so money moves to volatile altcoins.

I think you're not exactly right. When bitcoin grows, altcoins are falling. When bitcoin falls altcoins are falling, too :D So it was all 2017 year.

It is the result of having a 2 currency that is being used in the market today. Fiat currency which is controlled by central bank/government and cryptocurrency a decentralized currency or in Layman's term called "Internet Money". Bitcoin is the most acceptable cryptocurrency that is why altcoins always relies on bitcoin price movement. Since there are new whales in the industry which trade in the market they are also have a big impact in the value of altcoin and Bitcoin. If Bitcoin goes up and altcoin goes down, it means the whales are selling only altcoin in pair with bitcoin. But if you saw that Bitcoin price is going down and altcoin is also going down, it means the whales are selling altcoins to Bitcoin and selling Bitcoin to Fiat or if there is an available pairing of altcoin vs fiat in the platform they sell it directly to fiat. When you see Bitcoin and altcoin are pumping together it means they are buying bitcoin and altcoin with fiat. That is what you call diversification.

As you can see on many/most of the exchanges, (major) altcoin value is expressed proportional to the value of bitcoin. So when there is a fluctuacion on the market the traders will buy/sell bitcoin/altcoins because there is much to be gained there (this action is reserved for the experienced because you can lose it all, very fast). Bitcoins place as #1 is mostly reserved because it was first out there.

Such a very good explanation that deserves 2 smerit

Overall BTC fall in $ leads to altcoins fall in $ and BTC value too. Growth of BTC in $ leads to growth of altcoins in $ but fall of altcoins in BTC value. Stable BTC price leads growth of altcoins price in $ and BTC value

Actually there is no relation between the bitcoin and altcoin price each and every coin will demand on its own demand and supply all that realtion is in people's mindset when the price of bitcoin falls they are scared to invest on the altcoins too so the price falls and when the bitcoin price increases they invest on altcoins too so the price of every coin mostly moving with the price of bitcoin.

I hope in the future the altcoins can get free from bitcoin but that means more exchanges need to list more traidingpairs, unfortunately most of the coins just tradeable with bitcoin

Thank you for correction, but I noticed that now it behaves a little bit different than in 2017, isn't it?

This is something like Bitcoin Dependency. This is due to a fact that BTC is the pioneering crypto and all other alternative coins did have their foundation based on Bitcoin. But as time goes by, some altcoins are breaking away from this norm. Coins like ethereum, litecoin, ripple, and etc. Are one of the leading altcoins that has great potential and value for the future. Take note that these coins are also based on Bitcoin but their functionality and application differs that's why these coins have varying strength and weaknesses.

It is better not to think about this issue, because everything depends on the tendencies, but basically the coins are falling, when the bitcoin grows or falls, and grows, when bitcoin is more or less stable

It is simple the altcoin's prices would depends in bitcon's movements,the main logic is when the bitcoin's price has move wethere its going up or down most of the altcoins will bleed,its because the satoshi value of these altcoins is decreasing,when bitcoin's price has increased most of the investors will pull out their money from these altcoins,the only time these altcoins will grow is when bitcoin's price has stabilized.

There is also a bit about these being closely related products in terms of investment, so if one is too expensive, the market will balance with the price of the other buying.

great explanation for any newbie

My understanding why altcoin will be affected on the price of of bitcoin is that it is somewhat directly proportional with the other. Bitcoin is the baseline in any other cryptocurrencies and this is what usually happens. You may try to check at coinmarketcap currencies and observe the market trend in daily basis then you can observe that the status of the price movement usually move the same manner with bitcoin.

The only relation is created by the investors. Many of them start selling their alts when Bitcoin go down thinking the alts are going down too. They create panic wave this way and a little bit later we have a panic, but this is part of the game.

Because bitcoin has so much value that when it decreases, altcoins will also decrease.
Bitcoin is like the general of all coins.
Investors trade their altcoins to bitcoin even if their altcoin is very little when traded because bitcoin has much more value than altcoins.

Bitcoin is the center of all crypto economy. Bitcoin price movements affects altcoins, so when its prices falls other coins also falls.

Because most altcoins are priced on bitcoin, the fluctuation of the bitcoin value greatly affects other altcoins in the cryptocurrency market. To capture the volatility of the market you need time to track and invest in this market. Make market analysis and research before investing.

if I think personally. Bitcoin is the mother of all coins. so Bitcoin is used as the benchmark of all the coins.

sounds like this,market becomes domino effect because of those who desires to buy another bitcoin because of dip.but they have no capital so the ending they will sell altcoins to buy such.though some reasons come when weak hands saw the falling of bitcoins as they think this will affect alts then what the do withdraw alts for assurance.and when the bitcoin recovers thats the time the will invest again.the truth is the Domino effect

i think bitcoin like a lead on the cryptocurrency so if bitcoin fall many altcoin fall to. even ETH getting fall to. but there is some coin have stable. just check on the market.

Bitcoin being the first digital currency ever created and succeeded greatly that it motivates others to create other currencies in the form of alternate coins. As bitcoin being the base cryptocurrency in the cryptoworld, these alternate coins have a pairing value with bitcoin. So when bitcoin rises up, alternate coin's value also rise and vice versa.

I think the relationship between altcoin and bitcoin depends on the bitcoin price, when bitcoin price drops very sharply and the moment of bitcoin trending rises then altcoin will decrease in price whereas if bitcoin is stable then altcoin price will slightly menglaami price increase.

Father and etherium is mother. From etehrium born new token which is great to fill this crypto with that token.
The price of bitcoin can determine the altcoin price but if father die, children will not continue die.

I believe that some Altcoin support Bitcoin, that is directly related to it, thereby supporting and increasing its capitalization, when Bitcoin grows, Altcoin also grows. But there are also those who are not attached to Bitcoin and do not support him, but other coins are growing, thereby increasing Altcoin.

Bitcoin is the first crypto currency. And it was a big success. Due to it, altcoins; alternative+coins came up to follow its steps in crypto currency world.

Bitcoin can be regarded as the heart of all altcoins, in other words bitcoin is the foundation of all altcoins. Therefore all altcoins became popular today because of bitcoin and if bitcoin becomes less popular then they  follow suit.

When the arrival of the bull market, if BTC rise considerably, so all altcoin would fall, when the price of BTC to stop, so altcoin will rise, but when the bear market, whether BTC is up or down, altcoin will fall.

At first I thought there was an inverse relationship between the two, then as time went along I realized there was no 100% real relationship between the two it was arbitrary. All I know is in my almost year of crypto I have witnessed a multitude of outcomes at the markets and all of it points to random.

I hate  this relation:)
If btc decrease, altcoins decrease
If btc increasse, altcoins decrease
How can I like this relations? :)

you do not have to hate it, just choose one of altcoin and bitcoin. This moment is an opportunity for you to buy the coin you want because the price is cheaper than the previous price. and then save it until the price goes up, get ready to get rich.

I believe the same too, but not always. During those times when there was a price dump all have been affected due to a massive panic selling. They thought that was the end of the cryptocurrencies becua: and so even if bitcoin is the main concern it was equated to the latter. But there were times also when they go separately unaffected by each other.I believe the same too, but not always. During those times when there was a price dump all have been affected due to a massive panic selling. They thought that was the end of the cryptocurrencies and so even if bitcoin is the main concern it was equated to the latter. But there were times also when they go separately unaffected by each other.

BTC and altcoins are both coins. Their just the same but different in value. Alternate coins are coins other than Bitcoin. Both currency has an equivalent amount in paper money. And their both used as crypto money in the block hain or in the online world.

Theres a big effect that this bitcoin can shakes all altcoin. When the bitcoin is in the dip most of the altcoins are getting affected and to be follow into the dip too,  but not all altcoins goes down,  meaning there are a strong connections this bitcoin onto some other altcoins that when this big whales moves up, others are followed and the others are not.

What I've seen is that BTC usually dominates 1/3++ of the entire coinmarketcap. It would be interesting to see this reversed one day.

Bitcoin has long been known as the king of virtual currency, with a lot of money growing at the same rate as Bitcoin's leap in the market. With the current situation, Bitcoin is associated with a lot of investors. Astronomical and other currencies, in many countries investment participation, is an essential thing and this helps Bitcoin grow.

Bitcoin is the US dollar of cryptocurrencies,usually people buy Bitcoins and use that to buy other cryptocurrencies.When the price of Bitcoin goes up people dump altcoins to join the price pump and so altcoins usually drop in price for a while before rising because people will now  have to spend more to buy alts if they don't buy within the time being

We all know that bitcoin is the king of coins ,therefore the value of altcoin or another depend much on bitcoin value. Nowadays, bitcoin is getting viral, most of the bitcoin users all know its profit. Thank to bitcoin, altcoin is also used widely. The reason why all coins depend on bitcoin is partly technology. When bitcoin value get down, all coins seem decrease. Thus, I think altcoins and btc have relation.

Base on my experiences before sometime the coins does not go together, sometimes if bitcoin rises altcoin decrease and in vice-versa altcoin rises bitcoin decreases.

Bitcoin is the first the first of all cryptocurrencies and bitcoin and altcoin is connected and its kind tha main exchange you cant get the money when you will not exchange it to BTC, still it is base on the bitcoin exchange.

In what I learn the main couse of rising value is the investors so in the true story bitcoin and altcoin can't really go together sometimes for reason of the connection its still because of the investors.

Based on my experience for many years that I know Bitcoin and Altcoin, the price of Bitcoin is very unique and it is related to the Altcoin price. Because when the price of Bitcoin get down, the price of most of the Altcoin will be down too. So I think it is very important to us to know that the price of Bitcoin is related to the price of Altcoin. When some Altcoin price go down, it may happen because of Bitcoin and not because of the Altcoin itself. A lot of people become confuse and afraid because the price of Altcoin that they adore are going down. They thought that the Altcoin are scam. But it is not true.

because bitcoin serves as barometer in cryptocurrency market as being the popular digital currency it's partly obvious that the prices of altcoins goes with the price of bitcoin. Also in some country you can't buy directly a altcoins you should buy first a bitcoin and go to exchanges and buy your preferred altcoins and the pairing in exchanges has mostly bitcoin is dominant.

 made it to the alts tend to fund the Bitcoin runs and Bitcoin tends to fund the running of alt. Because of this relationship, the movements in the price of the Bitcoin is often impact altcoin ...

Here everything is very simple. Bitcoin as the very first coin just influences the rest. The least bit of altcoins is exposed to the bitcoine ethereum course. True, recently he falls heavily

BTC is the crypto leader and the whole team depends upon the leader guidance.These are interrelated.When BTC price surge the Altcoins price surge and vise versa.A good example of 2017 is before us.When BTC went to ever high value $19782 during Dec-17 the whole crypto was blooming and when the price came down the whole market is bloody.

Bitcoin and altcoin are related to each other. All coins have been also started after increasing the technique of bitcoin. Their group has been granted Altecoin status. There are several types of technology changes in Altcoin. 
 Altcoin can changes with bitcoin.