Bitcoin Dominance rising again. What is happening?

[yvesp110]

Apparently Plan B wasn't right (he cannot always be, and I prefer him being right on Stock to Flow model!)

Dominance is taking a breath:



ETH is going up, I don't know why.

The dominance of bitcoin keeps falling gradually. By the time ethereum dominance slowly rising. This is a relief for most of the altcoin holders, because most of the altcoins gets impacted by the growth happening with ethereum. I believe there is more chances for price of ethereum cross $200 shortly, further there seems to happen some large scale growth.

Eth had low price long ago but same as other crypto now bitcoin has started  to increase and this is really a good growth a should have patience right now as more networks also obtaining demand. Last year it was dominating but this year I guess price is having noticeable increase in price better buy Eth  $200 is good price.

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[davinchi]

There needs to be some sort of balance between bulls and bears, there needs to be balance between short and long as well. Short could be bear or bull, it could go down or up, we don't know what will bitcoin do in the short term, it is always volatile. However in the long term can you tell me bitcoin doesn't look bullish? I mean we are talking about bitcoin here, who could really say bitcoin will be less than what it is right now in 10 years? Everyone thinks it will be higher in the long term.

So, it all depends on why you want to buy bitcoin, if it is to get rich quick than you need a short term huge bull and that is very risk and very low chance, if you want to just invest for long term then it is great. I am a permabull in the long term but I know reality is not like that in short term, we have to accept that.

[fillippone]

Dominance is now just below 70%, at the moment is 68.8%:



BTC retracted a little bit during last month, so Shitcoins bloodbath was inevitable.

[fillippone]

Another report detailing how Bitcoin Dominacne Should be even greater than that 68.4% we now observe on CoinMarketCap

99% of Ethereum, Litecoin, EOS Volume is Likely Fake: Report

Researcher Koji Higashi late last week blasted off exchanges for faking 99 percent of their Ethereum, Litecoin, and EOS trade volumes. The Japan-based cryptocurrency analyst noted that the degree of fake volume in the altcoins appeared more severe than the one in bitcoin.

Many often-quoted data sources such as CoinMarketCap and Coinhills are inaccurate and/or outdated
Filtering fake volume, the Bitcoin’s market dominance becomes even more obvious. Bitcoin’s true spot volume market share is estimated 70% vs nominal(reported) market share of 50%
China still dominates Bitcoin spot trading via USDT with almost 50% of market share. USD is second place around 20–25% while JPY and KRW hover around 10–15%

[exstasie]

Another report detailing how Bitcoin Dominacne Should be even greater than that 68.4% we now observe on CoinMarketCap

99% of Ethereum, Litecoin, EOS Volume is Likely Fake: Report

Researcher Koji Higashi late last week blasted off exchanges for faking 99 percent of their Ethereum, Litecoin, and EOS trade volumes. The Japan-based cryptocurrency analyst noted that the degree of fake volume in the altcoins appeared more severe than the one in bitcoin.

I can believe that, but isn't Bitcoin dominance just a function of price/market cap? Why would fake volume matter?

Higashi is basically asserting that fake altcoin volume fools traders into propping those markets up. However, I don't see evidence of that. His claim also implies BTC's value should be lower, since it's also plagued by so much fake volume.

[fillippone]

It is a fair point, but I think the issue on the topic is that fake volumes in alts are, according to the author, way higher than those on bitcoin (which, by the way, we understood how to isolate), this is why dominance should be higher (even if reading the article current dominance was set at 50%... so way lower).

[d3nz]

It could be the reason of halving  or other global news that could be affecting bitcoin and this is good news for investor since we can take advantage of the price rise. This is the reason on why we need to accumulate bitcoin since it is much profitable for long term.

And we always to check the market's value if its going down or up and majority is affected like the altcoins. The value of bitcoin may rise up high a $9k or $10k it will just depend.

[Bezobraznike]

It is a fair point, but I think the issue on the topic is that fake volumes in alts are, according to the author, way higher than those on bitcoin (which, by the way, we understood how to isolate), this is why dominance should be higher (even if reading the article current dominance was set at 50%... so way lower).

   Fillippone you have a point here, Bitcoin dominance should be higher. Nobody should be surprised with that fact, Bitcoin is the dominant
crypto-asset! And I believe that many alt-coins have a fake volume.
   For me rising Bitcoin dominance can be a sign for the next bull run! It's imminent, bull run I mean, and this can be a good sign that
we are on the good direction.

[Darooghe]

Honestly this is the only metric I'm watching for figuring out when it's time to buy altcoins. Before 90% dominance there's every chance we're going to see more altcoin price crashes, until we have a clean house. Everyone is realizing their altcoins are dying so they are trading their altcoins for Tether and then buying bitcoin with the Tether. Hence, Bitcoin dominance leads to altcoin rally because after bitcoin dominance reaches to 90% and people make enough profit in bitcoin they spread their money into other assets and then alt season begins.

[aioc]

Honestly this is the only metric I'm watching for figuring out when it's time to buy altcoins. Before 90% dominance there's every chance we're going to see more altcoin price crashes, until we have a clean house. Everyone is realizing their altcoins are dying so they are trading their altcoins for Tether and then buying bitcoin with the Tether. Hence, Bitcoin dominance leads to altcoin rally because after bitcoin dominance reaches to 90% and people make enough profit in bitcoin they spread their money into other assets and then alt season begins.

But it will take for Bitcoin two to four year to reach that dominance, I'd like that percentage it balances on the top coins in the market, 605 Bitcoin dominance means we still can make a profit from many altcoins, not just any altcoins but altcoins that has potential like litecoin who is performing pretty good right now.

[bobitza]

If bitcoin returns to dominate the cryptocurrency market, that's good too! That is a sign for the rise of other cryptocurrencies. What happens when there is more money spent on infrastructure and companies holding the basic value of blockchain in general? Bitcoin is considered a valuable asset, as are other cryptocurrencies like Ethereum. They will also be trusted and better understood by the people.

[Febo]

Before 90% dominance there's every chance we're going to see more altcoin price crashes, until we have a clean house.

That is way to extreme. In a way as CMC currently measure  will crypto dominance we never see Bitcoin at 90% again. Probably 75% is its limit. And after Bitcoin reach new ATH at $20000 it will start drastically decrease.

[fillippone]

"Alt season is night! Repent yourself and hodl Shitcoin!"
(cit. average shitcoiner)

Then I look at bitcoin dominance (flawed indicator, we know that, but just suspend disbelief for sake of simplified analysis):



Bitcoin dominance down from 69% to 64%?

WOW! this is a true altseason approaching, I might be able to dump all those shitty XLM  I got registering multiple accounts to that stupid website.



This is the relative performance of shitcoins versus BTC. Really you want to call a shitcoin alt season because and obscure coin surged 100% from 0.015 to 0.03 of a BTC? (just remember how that shitcoins used to be worth back in the days)

[BitHodler]

I wouldn't call it altcoin season yet because a lot of them are running into serious resistance. If altcoins can get past their resistance levels and make higher highs, the Bitcoin market cap dominance will drop under 60% quick.

The only bought altcoin that I currently hold is Ether, which I bought back when Bitcoin was crashing below $4k. I will only cash out a portion if Ether breaks through 0.04BTC, but currently we're far away from reaching there.

I'm sure that when I do my best and search for BCH/BSV on some older wallets they must be there, so I'll dump these first because there isn't anything I like about them and it's free money at the end of the day.

[justdimin]

I guess altcoins are not doing that bad neither this time. I mean it is one thing that bitcoin goes up and altcoins go down and the dominance would be going high for bitcoin, but it is another thing when bitcoin goes up better than all the other coins and the other coins go up as well but just not as much as bitcoin. I would have the second option any day of the week, this way the other people who invested into altcoins still profit from it even if not as much as the bitcoin people.

Look at ethereum for example, it recently broke over 200 dollars, I am sure people who have invested into eth or who are mining eth are not complaining about their situation, so the dominance rising for bitcoin didn't bothered them. We all prefer bitcoin going up and altcoins going up even further but this one definitely beats altcoins going down version.

[fillippone]

I guess altcoins are not doing that bad neither this time. I mean it is one thing that bitcoin goes up and altcoins go down and the dominance would be going high for bitcoin, but it is another thing when bitcoin goes up better than all the other coins and the other coins go up as well but just not as much as bitcoin. I would have the second option any day of the week, this way the other people who invested into altcoins still profit from it even if not as much as the bitcoin people.

Look at ethereum for example, it recently broke over 200 dollars, I am sure people who have invested into eth or who are mining eth are not complaining about their situation, so the dominance rising for bitcoin didn't bothered them. We all prefer bitcoin going up and altcoins going up even further but this one definitely beats altcoins going down version.

I think, when looking at cryptos in general, the only exchange rate matters is the one versus BTC.

BTC: 1 BTC=1 BTC

other shitcoins: SHT/BTC

Reasoning versus USD is meaningless.

[deisik]

I think, when looking at cryptos in general, the only exchange rate matters is the one versus BTC.

BTC: 1 BTC=1 BTC

other shitcoins: SHT/BTC

Reasoning versus USD is meaningless

That's not quite true. I don't know about all altcoins, but as far as I checked the trading volumes at a couple of exchanges, people trade Dogecoin mostly for fiat currencies (though not necessarily USD). That explains the seemingly counterintuitive fact that doges are moving against Bitcoin, not following it, i.e. when Bitcoin rises, Dogecoin goes down in bitcoins, and vice versa, which means its price is more or less stable in dollars. As I'm inclined to think, it is mostly due to people buying doges to gamble them away, and they don't want to spend their precious bitcoins on something they are expected to lose anyway

If anyone has a different view, you're welcome to chime in

[fillippone]

I think, when looking at cryptos in general, the only exchange rate matters is the one versus BTC.

BTC: 1 BTC=1 BTC

other shitcoins: SHT/BTC

Reasoning versus USD is meaningless

That's not quite true.

Very interesting point.

I really don’t know. If someone uses DOGE as a stablecoin this really challenge my mind, but I cannot infer anything from this (apart maybe the weird human nature).
Of course my previous statement tried to be general... the way I see things.

[1Referee]

Look at ethereum for example, it recently broke over 200 dollars, I am sure people who have invested into eth or who are mining eth are not complaining about their situation, so the dominance rising for bitcoin didn't bothered them.

It depends on how you look at things. Eth's all time high is a bit over $1400 so that makes its current price about 85% lower than that high. If you got in cheap enough recently you are doing fairly well, but nothing too exciting. I think the frustration of people who expected Eth to be at $500 by now doesn't outweigh the gains it booked in the more recent weeks.

I think it's safe to say that the happiest (known) Eth holder today is scammer Richard Heart. People are still sending their Eth to his smart contract in exchange for poop hex tokens. You would expect that with the upcoming upgrades for Ethereum people to think twice before sending their Eth to a scammer, but nope. 

[judaspriest]

Bitcoin dominance is now reduced, and has decreased, this is good news for altcoin holders, it seems true, 2020 is the year for altcoin partying