Why Altcoin prices often follow Bitcoin price

[gilangIDR]

Do they really? I often encounter this statement. And i have no idea as to why. This past few days, bitcoin is on the rise and most certainly than not altcoin's price surely follows. I am not saying this is bad but altcoins have very little in common with bitcoin. And they are certainly not carbon copies of bitcoin either. Why the heck is their price so closely connected despite being so fundamentally different?

Everyone knows that bitcoin is the most popular digital currency and is now the benchmark for everything related to the crypto world. So it's not unusual when altcoin prices always change when bitcoin prices move. This is indeed a normal thing to happen, altcoin prices will always follow bitcoin prices. Bitcoin remains the best and may now be said to be usd dollars, as in the real world that usd dollars always be the benchmark of various values ​​in the world's Finance system.

[Procopiogamscrypto]

Do they really? I often encounter this statement. And i have no idea as to why. This past few days, bitcoin is on the rise and most certainly than not altcoin's price surely follows. I am not saying this is bad but altcoins have very little in common with bitcoin. And they are certainly not carbon copies of bitcoin either. Why the heck is their price so closely connected despite being so fundamentally different?

 We can't deny that all altcoins were dependent on bitcoin in terms of price because it has a big market cap and users. Therefore whatever changes in its value will affect another coin as it is  the barometer of the stability of cryptocurrency in the market.

[kryptqnick]

can seem like no matter what happens, the major altcoin prices follow Bitcoin's price, even when it is illogical. We ask, “why?!” UPDATE FEBRUARY 2018: The article below was written in October 2017 when Bitcoin was outpacing alts after a market-wide correction. It was then updated in December 2017 ...

It doesn't always happen. Sometimes bitcoin is falling and alts are going up, like in January 2018. Yet the tendency of it being the case is usually observed when the bitcoin's marketcap dominance is high or increasing. This happens during bad times when the market is bleeding. People tend in such cases to trust only btc and sell everything else more than bitcoin. When btc get stable on a reasonable price, other coins might trigger the upper movement. For instance, this month we saw IOTA, Ethereum, Ripple and Eos moving up at different time, encouraging other coins to go up a bit as well.

[OluwaTosin10]

I want to say, alt-coin prices often follow bitcoin price because, once value in btc drops; it outrightly affects altcoins prices and this forces people to dump.

For example, if bitcoin is 8000$, ELF is 1.5$ - 3$
Then if bitcoin drops to 7400$, ELF goes to 0.6$ - 1$

circumstances as above, would always diminish values of altcoin, thereby causing an unprecedented dump

[BogdanGFTP]

Robert Shiller described phenomenon like that in his most popular book. Explore "Irrational Exuberance" for yourself.

[serejandmyself]

Do they really? I often encounter this statement. And i have no idea as to why. This past few days, bitcoin is on the rise and most certainly than not altcoin's price surely follows. I am not saying this is bad but altcoins have very little in common with bitcoin. And they are certainly not carbon copies of bitcoin either. Why the heck is their price so closely connected despite being so fundamentally different?

Because BTC makes trend its like Gold but in crypto sphere, it is main standard for all coins and if it goes up the whole market follows and and if it goes down all other coins are falling faster than it.

[deep4u]

Because Bitcoin is  1st crypto currency that's why whenever Bitcoin has good news and in green market for some weeks all altcoin traders start buy altcoin they like it's the main reason to altcoin following Bitcoin ralley.

[Bytem3]

Because most of the altcoins are traded with Bitcoin. Not many have fiat pairs.

[Chomsy]

In my opinion, altcoins rise in line with bitcoin because once the trading altcoins mostly depends on bitcoin trade too. The day traders I believe use bitcoin or their altcoin trade and once the trade volume of bitcoin rises, those altcoins rise too.

[plumbus234]

for the common folk they are like brothers. and people assume that whatever affects this coin should surely affect that coin. those assumptions create beliefs which in turn fluctuate the market

[R3ffun]

Do they really? I often encounter this statement. And i have no idea as to why. This past few days, bitcoin is on the rise and most certainly than not altcoin's price surely follows. I am not saying this is bad but altcoins have very little in common with bitcoin. And they are certainly not carbon copies of bitcoin either. Why the heck is their price so closely connected despite being so fundamentally different?

because with the increase in Bitcoin trigger the development of Altcoin. so if Bitcoin increases, Altcoin increases. besides the development of Altcoin always follow Bitcoin.

[ylnar123]

Do they really? I often encounter this statement. And i have no idea as to why. This past few days, bitcoin is on the rise and most certainly than not altcoin's price surely follows. I am not saying this is bad but altcoins have very little in common with bitcoin. And they are certainly not carbon copies of bitcoin either. Why the heck is their price so closely connected despite being so fundamentally different?

Altcoins usually follows Bitcoin price because they are using It as the main currency to trade. And maybe every single altcoins has a big connection to Bitcoin which make it their basis for the fluctuation of their price.

[Osiris0]

Bitcoin is old and brutal, he is like a old hunter who knows the path. And young hunters wisely following him. And if serious, I think that the reasons are reputation and capitalisation.

[rosezionjohn]

This question has been asked multiple times in every crypt-related forums but there's no definite answer as to why altcoins tend to follow bitcoins price. The only reason I can think of is that bitcoin is the "king" and that most altcoins are paired with bitcoin.

[efxtrader]

Do they really? I often encounter this statement. And i have no idea as to why. This past few days, bitcoin is on the rise and most certainly than not altcoin's price surely follows. I am not saying this is bad but altcoins have very little in common with bitcoin. And they are certainly not carbon copies of bitcoin either. Why the heck is their price so closely connected despite being so fundamentally different?

I think its because bitcoin still benchmark for market. When bitcoin price drop, maybe people who hold altcoin trying convert their altcoin for bitcoin and thats make altcoin price following bitcoin.

[Redg85]

well i think it is because bitcoin is the core of cryptocurrency as a whole. bitcoin dictates and altcoins follows. although bitcoin's price is unpredictable but the growth of it is a growth of cryptocurrency.

[liuqi]

This question has been asked multiple times in every crypt-related forums but there's no definite answer as to why altcoins tend to follow bitcoins price. The only reason I can think of is that bitcoin is the "king" and that most altcoins are paired with bitcoin.

Bitcoin is king of Cryptocurrency but this is not a exact reason. More than 1500 Cryptocurrencies are listed in the market but most of altcoins are different criteria to follow the pump and dump. But major altcoins are follow the Bitcoin value so big investors are investing in both Bitcoin and potential altcoins once panic to stop the investment automatically affect the total Crypto platform.

[Artemon82]

Do they really? I often encounter this statement. And i have no idea as to why. This past few days, bitcoin is on the rise and most certainly than not altcoin's price surely follows. I am not saying this is bad but altcoins have very little in common with bitcoin. And they are certainly not carbon copies of bitcoin either. Why the heck is their price so closely connected despite being so fundamentally different?

because most popular pairs are BTC and ETh almost on every exchange and when bitcoin goes down many selling their altcoins for btc and eth and that why their goes even more down,boths, altcoins and bitcoin. We need more trading pairs on exchanges,so its harder to dump th whole cryptomarket

[yojodojo21]

Do they really? I often encounter this statement. And i have no idea as to why. This past few days, bitcoin is on the rise and most certainly than not altcoin's price surely follows. I am not saying this is bad but altcoins have very little in common with bitcoin. And they are certainly not carbon copies of bitcoin either. Why the heck is their price so closely connected despite being so fundamentally different?

Actually its not all the altcoin that goes with the flow whenever bitcoin the leading crypto  increase its price, preferably the mineabnle altcoins are the ones who goes with it but not all, as your going to see and check the market, altcoins deal with the price of bitcoin because if the price of bitcoin increase the more traders go with the law of demand and supply.

[bellator66]

Because bitcoin as master in crypto.course bitcoin movement so reference for altcoin other.
However, altcoin's selling value can not exceed the altcoin selling value.