Relationship between Bitcoin and Altcoin Prices

[halferemite]

hey guys i'm new to the crypto biz and wanted u to help me with a specific question to feel certain.

its about the USD and BTC prices of altcoins connected with the USD price of the alpha leader coin BTC.

Unconsidered the fact that if money goes out of BTC into altcoins , BTC price drops and Altcoin price goes up and vice versa.
But how is the relationship exactly if just BTC price goes up and vice versa?
BTC price goes up -> Altcoin prices in USD / BTC goes up.
BTC price goes down -> Altcoin prices in USD / BTC go down.

but why exactly? cant make the right connection in my head..

thx guys!

[tora]

There are two issues here. The price of altcoins against bitcoin and the price of all coins against dollars. The prices of all can change throughout the day but not all the same eg ethereum may gain against bitcoin but litecoin may fall., If there is bad news about cryptocurrencies eg a country banning an exchange then the whole crypto market will fall against the dollar.

[halferemite]

thanks mate

but the 1. case that altcoins are falling against the dollar is because of bitcoin is linked to the dollar and if there are bad news eg for just bitcoin , bitcoin drops and then everything drops even in dollar as they are linked to btc right?

[halferemite]

nobody?

[Martinkuhn]

hey guys i'm new to the crypto biz and wanted u to help me with a specific question to feel certain.

its about the USD and BTC prices of altcoins connected with the USD price of the alpha leader coin BTC.

Unconsidered the fact that if money goes out of BTC into altcoins , BTC price drops and Altcoin price goes up and vice versa.
But how is the relationship exactly if just BTC price goes up and vice versa?
BTC price goes up -> Altcoin prices in USD / BTC goes up.
BTC price goes down -> Altcoin prices in USD / BTC go down.

but why exactly? cant make the right connection in my head..

thx guys!

This is not exactly true. There are times that BTC goes up and Altcoin goes down. This happened most part of Nov and Dec 2017 when BTC was going thru some hardforks. Money flow from altcoin to BTC.

Then when BTC goes down, altcoins went up. Money flow from BTC to altcoin.


And when BTC and altcoin goes up together. This is due to the influx of new money from investors who are buying into crypto for the first time of their life. Money goes into BTC and then from BTC to altcoins. The entire market goes up together.

We must understand what are the mechanics happening behind the scene so that we can maximize our chances of making profits.