Values of Bitcoin & Altcoin are correlated

[FanEagle]

"Correlated" is the right word for it. We can't say "when bitcoin goes up, alts go down" because that is not true always, but we can't say "when bitcoin goes up, alts go up too" because that is not always true neither, we also can't do the opposite for alts.

However we can say that, whenever bitcoin makes a big move, up or down, alts do make a big move as well, up or down. That is the important part here, we are not talking about direction because direction could be one way or another and it wouldn't matter but we are talking about movement, which happens one way or another whenever one of the moves big. So we can say that if bitcoin makes a big move one way, alts will certainly make a big move as well. That is "correlation" and I think it is the right word to use in this situation.

[1714943260]

1714943260

[1714943260]

1714943260

[1714943260]

1714943260

[MiningBattalion]

It is common knowledge that altcoins are somehow connected to Bitcoin as they both enter in the category of cryptocurrencies. However I don't think that altcoins price is correlated to Bitcoin's. What I've observed is that when Bitcoin is consolidating people tend to put some of their holdings into altcoins so they can make an extra profit on the side. On the other side, if you're looking at altcoin prices denominated in USD some of them will not dump so much when Bitcoin is on a surge, maybe even increase in value while their satoshi-price stays constant.

do you mean value = usd or btc pair? with usd pair alt still corelated, but on btc pair alt need to adjust their price with panick dump included to the price

yeah first btc need to up to attract more investor from outside, then alt have momentum to gain after btc consolidate, lets see is altseason intact next year or what...

It was mean that the price of bitcoin is reason for variation in the price of Altcoin.Whenever the price of bitcoin had reduced or increased, the same will reflected on altcoin also. Since it's last quarter of the year, the price of bitcoin will reach maximum. If you hold some bitcoin for future, you surely have some profit from it.

[Silberman]

I agree that the value of bitcoin and altcoins are correlated, maybe bitcoin has to pass through the ATH after that altcoin bull run or just bitcoin that goes up and altcoins can't pass the ATH?

Neither, usually when btc is pumping so hard it eats up altcoins market dominance and making the alts gets dumped hard or btc could be pumped at the same time as alt pumped. You know what, thee correlation mentioned are usually just a wild hunch because we actually have no clue about the correlation of both.

I disagree completely with what you said about correlation, correlation is a mathematical term and it can be measured since there are formulas for it and it is very easy to see for anyone that uses those formulas that in general the market of altcoins is correlated to bitcoin, people need to remember that correlation does not mean that a coin is going to move in exactly the same way that bitcoin does, what it means is that if bitcoin moves up then most altcoins are going to follow the same direction, some are going to grow more, some are going to present the same growth, some are going to grow less and even some coins are going to go down but on average altcoins show a very strong correlation with the movements of bitcoin and that is a fact.

[puremage111]

I am aware some of you might not agree with my view but I strongly feel that the value of altcoins are correlated to the value of bitcoin and we have seen this in the past as value of altcoin trends according to the momentum of bitcoin, but now the real question would be "why the value of altcoins are still trailing behind wherein bitcoin has increased by leaps". All we need is a bit of patience as crypto will not go as per our expectation as it's not scripted and many might have noticed that the value of ETH was all-time high when the value of bitcoin started to dump after the 2017 bull run.

What's your opinion guys?

I think as long as it is classified as Crypto, it will always be correlated with Bitcoin
Bitcoin is like the USD of Crypto where most Crypto are paired to /BTC
Despite you might see pairs that are trade across pairs like ETH
Remember that ETH is still paired against Bitcoin

I do agree on why Bitcoin and Alts is always correlated is because market tend to move in a cycle
Different market cycle has different ups and downs for each category
When Alts is on fire and when it tends to consolidate or cooldown, people would sell it for Bitcoin or stables before it make another run
Same to Bitcoin, when it is too hot to touch, people would diversify their portfolio to other coins to mitigate single asset portfolio

[kapalmabur]

In the past, altcoins have always followed the price of bitcoin and its stability has until now, but this year is quite different, the difference in bitcoin price leaves altcoins behind, this is beyond the predictions of many people, even coins like ethereum are now far from the price of bitcoin. a little worried because the upward movement of altcoins is so slow.

It is called correlation and there are both good&bad sides for using this correlation as an indicator in crypto trading. The movement of altcoins solely depends on the dominance of BTC and the top altcoins choose the direction of the altcoin season, this is what happened in the last 4 years.

For the past 4 years, we have seen the market situation based on the price of Bitcoin, based on the price of Bitcoin, the altcoin market situation will depend. Agree, most of the potential altcoins will always dominate the market when the price of Bitcoin stables.

don't forget everything also depends on the news,
if there is a potential altcoin without news it will be difficult to go up, and one more thing about bitcoin dominance,
if bitcoin dominance is still high and bitcoin price is stable then we won't see altcoins partying.

[jostorres]

Anyone who says that bitcoin and altcoin prices acted together in previous years and now they are acting on opposite directions must be someone new in the crypto market. I have been here for almost a decade in a year and a half and I can tell you that there were always correlation but never parallel to each other all the time. It had moments when it moved opposites and it had moments when it acted together but it was never really "this does that" type of guaranteed stuff.

Just to give an example during 2017 peak year, during summer when bitcoin went up like crazy due to BCH craze, altcoin prices went down like crazy, this was around July or June I am not sure but you can look it up, just few months later when bitcoin reached 20k, many altcoins reached their ATH, as you can see in few months they acted so differently.

[AnonBitCoiner]

I am aware some of you might not agree with my view but I strongly feel that the value of altcoins are correlated to the value of bitcoin and we have seen this in the past as value of altcoin trends according to the momentum of bitcoin, but now the real question would be "why the value of altcoins are still trailing behind wherein bitcoin has increased by leaps". All we need is a bit of patience as crypto will not go as per our expectation as it's not scripted and many might have noticed that the value of ETH was all-time high when the value of bitcoin started to dump after the 2017 bull run.

What's your opinion guys?

Their will be a different opinion for everything in this world.Same will be sustain in this manner.When their is pump or rise happened in bitcoin same had reflect in mot of the decentralized altcoin.Patience was important in crypto till the end of trading.

[hahay]

The value of bitcoins has been increasing rapidly but altcoins are not because that is the correlation, you feel the value of altcoins is gaining the best momentum after the achievement of bitcoin because that is what happens so the pump and dumping of both bitcoin and altcoin will correlate. Something to be afraid of is that when the market trend is negative because of the big fall of bitcoin it will also make the altcoin market collapse, it's different when the decline in bitcoin after reaching ATH then at least there is still a moment for altcoins to reach the moon.

[bocyaj]

The value of bitcoins has been increasing rapidly but altcoins are not because that is the correlation, you feel the value of altcoins is gaining the best momentum after the achievement of bitcoin because that is what happens so the pump and dumping of both bitcoin and altcoin will correlate. Something to be afraid of is that when the market trend is negative because of the big fall of bitcoin it will also make the altcoin market collapse, it's different when the decline in bitcoin after reaching ATH then at least there is still a moment for altcoins to reach the moon.

Many think like that.But it's not a correct one.Bitcoin helps other coin to shine by shining in the sky.When the bitcoin price increased and reaches the sky.It spread awareness among people.Mostly people try to buy a cheap coin and that lead to the buying of altcoin.

[dunfida]

The value of bitcoins has been increasing rapidly but altcoins are not because that is the correlation, you feel the value of altcoins is gaining the best momentum after the achievement of bitcoin because that is what happens so the pump and dumping of both bitcoin and altcoin will correlate. Something to be afraid of is that when the market trend is negative because of the big fall of bitcoin it will also make the altcoin market collapse, it's different when the decline in bitcoin after reaching ATH then at least there is still a moment for altcoins to reach the moon.

Many think like that.But it's not a correct one.Bitcoin helps other coin to shine by shining in the sky.When the bitcoin price increased and reaches the sky.It spread awareness among people.Mostly people try to buy a cheap coin and that lead to the buying of altcoin.

You got the point but majority will be sticking out on what shine the most which is on Bitcoin itself.We can really tell that bitcoin would always have  the spotlight but doesnt mean that altcoins wouldnt have the chance.
Of all the years ive been here on this market and trying to point out about correlation then it can be both ways yet it can neither affect or not when theres a current market condition that been happening
either bullish or bearish run. Alts tend to lag behind as always with bitcoins price.Some do go to the opposite way and some do come along with it this is why making up decisions on which one you should accumulate
and this is where personal selection would begin.

[Silberman]

Anyone who says that bitcoin and altcoin prices acted together in previous years and now they are acting on opposite directions must be someone new in the crypto market. I have been here for almost a decade in a year and a half and I can tell you that there were always correlation but never parallel to each other all the time. It had moments when it moved opposites and it had moments when it acted together but it was never really "this does that" type of guaranteed stuff.

Just to give an example during 2017 peak year, during summer when bitcoin went up like crazy due to BCH craze, altcoin prices went down like crazy, this was around July or June I am not sure but you can look it up, just few months later when bitcoin reached 20k, many altcoins reached their ATH, as you can see in few months they acted so differently.

The only other option that I can imagine for why some people may believe that there is no correlation between the two is ignorance, after all many people do not really understand what correlation means, because as you say they think that correlation means that if the price of bitcoin goes up or down altcoin prices follow it down exactly and that is not the case, the price of bitcoin and altcoins can take different directions and there are many instances of this happening and you give one of them, but for the most part they move in a similar way most of the time which is exactly what correlation means.

[fmz89]

The value of bitcoins has been increasing rapidly but altcoins are not because that is the correlation, you feel the value of altcoins is gaining the best momentum after the achievement of bitcoin because that is what happens so the pump and dumping of both bitcoin and altcoin will correlate. Something to be afraid of is that when the market trend is negative because of the big fall of bitcoin it will also make the altcoin market collapse, it's different when the decline in bitcoin after reaching ATH then at least there is still a moment for altcoins to reach the moon.

Many think like that.But it's not a correct one.Bitcoin helps other coin to shine by shining in the sky.When the bitcoin price increased and reaches the sky.It spread awareness among people.Mostly people try to buy a cheap coin and that lead to the buying of altcoin.

well thats exactly happen on crypto in the past,  most of project using bitcoin new ath to pump the price, with news and development release on schedule

masive inflow from outside crypto make new waves fresh money hitting the spot, the party getting crazy each day creating fomo in every side

when moon , when lambo, atleast you got toyota lol

[Teraboy]

For the past 4 years, we have seen the market situation based on the price of Bitcoin, based on the price of Bitcoin, the altcoin market situation will depend. Agree, most of the potential altcoins will always dominate the market when the price of Bitcoin stables.

I should remind you when altcoin has eaten the bitcoin's domination a few years ago. did you see that a few months ago TRON and EOS were dominating the marketcap but both were going down after some new platforms getting published.
that means the potential coin will not rule the market but the only coin that can rule the market was bitcoin.
Any other major coins have no chance to dominate the market.

[Severine]

During altcoins bullish periods - 77% of the top currencies correlate at more than 60% with Bitcoin and Monero is the highest correlated at 92.3%.

[carlisle1]

The value of bitcoins has been increasing rapidly but altcoins are not because that is the correlation, you feel the value of altcoins is gaining the best momentum after the achievement of bitcoin because that is what happens so the pump and dumping of both bitcoin and altcoin will correlate. Something to be afraid of is that when the market trend is negative because of the big fall of bitcoin it will also make the altcoin market collapse, it's different when the decline in bitcoin after reaching ATH then at least there is still a moment for altcoins to reach the moon.

Many think like that.But it's not a correct one.Bitcoin helps other coin to shine by shining in the sky.When the bitcoin price increased and reaches the sky.It spread awareness among people.Mostly people try to buy a cheap coin and that lead to the buying of altcoin.

well thats exactly happen on crypto in the past,  most of project using bitcoin new ath to pump the price, with news and development release on schedule

Scheduled release sometimes not going to happen as they are usually extended or paused for some reason,But yeah in past News are really indeed the reason why the coins pumping and hitting their Hype.

masive inflow from outside crypto make new waves fresh money hitting the spot, the party getting crazy each day creating fomo in every side

expect many of those to happen soon or starting now because the Bull seems to be starting and coins are making their way to the top(not included those Defi BS coins)

when moon , when lambo, atleast you got toyota lol

Even the cheapest one as long as it is true ,and don't expect too much and then fail.

[Arkann]

In the past, altcoins have always followed the price of bitcoin and its stability has until now, but this year is quite different, the difference in bitcoin price leaves altcoins behind, this is beyond the predictions of many people, even coins like ethereum are now far from the price of bitcoin. a little worried because the upward movement of altcoins is so slow.

This time it has being a long period else generally when the bitcoin starts to rise altcoins do follow quickly. But it seems mostly people are buying bitcoin or not much demand existing in altcoins due to which the price is not following the bitcoin rise. But it will eventually happen, and the rise will be very quick as its already being long await for altcoins now to follow bitcoin rise.

What is happening in the cryptocurrency market today, I consider a more balanced process than it was in 2017. Of course, Bitcoin's performance indicates that investors prefer bitcoin over altcoin uncertainty and the only thing that is still unclear today is the near-term prospects for Ethereum, which are very vague due to debugging 2.0. But once we have already seen almost the same ratio of Bitcoin and Ethereum in the cryptocurrency market.

[mnporter2001]

I think this is the law in Crypto market long time ago?
To explain this similarity, I have a pretty good reason to talk about this since I have had a lot of years of experience.
In short, the "spirit" Bitcoin.  Its ups and downs have a huge impact on the trading community in the Crypto market.  When it falls, the crowd will think that the crypto market is about to fall, so they have to sell off the top altcoins.  When the price of Bitcoin rises, it will bring the sentiment of fomo to the crowd again, from which they will buy blindly and without a stop.

[jostorres]

Altcoin prices increases as much as bitcoin price does, don't know where you are looking at the prices but if you look at coinmarketcap right now, you can see that bitcoin increased 17% in the last week while ethereum had 12% and xrp had 46%!! and link had 14% and ltc had 32% so as you can see some higher and some lower but almost all altcoins went up.

This is why I think they are definitely similar, sure there were few days when bitcoin went up and altcoins didn't went up so people assumed that they were moving opposite directions but that was just few days and in reality bitcoin price and altcoin prices move together.

[drlukacs]

I am aware some of you might not agree with my view but I strongly feel that the value of altcoins are correlated to the value of bitcoin and we have seen this in the past as value of altcoin trends according to the momentum of bitcoin, but now the real question would be "why the value of altcoins are still trailing behind wherein bitcoin has increased by leaps". All we need is a bit of patience as crypto will not go as per our expectation as it's not scripted and many might have noticed that the value of ETH was all-time high when the value of bitcoin started to dump after the 2017 bull run.

What's your opinion guys?

hmmm .. the correlation here is moving in the same direction, it is not certain that altcoins will go as high as Bitcoin. Depending on the market situation and the news influencing at that time. Previously, the price of Bitcoin increased 2% and altcoins would increase 4-5%, but now because Bitcoin is an asset worth holding during the period of fiat inflation, its price has skyrocketed. In essence, the problem here is still Supply and Demand, nothing more superior.

[atjiat]

Altcoin prices increases as much as bitcoin price does, don't know where you are looking at the prices but if you look at coinmarketcap right now, you can see that bitcoin increased 17% in the last week while ethereum had 12% and xrp had 46%!! and link had 14% and ltc had 32% so as you can see some higher and some lower but almost all altcoins went up.

This is why I think they are definitely similar, sure there were few days when bitcoin went up and altcoins didn't went up so people assumed that they were moving opposite directions but that was just few days and in reality bitcoin price and altcoin prices move together.

You are really right, almost all the top-rated cryptocurrencies show a green light, and first of all, we can say that these are indicators of which altcoins have real prospects in the future, because most of the altcoins are just bubbles. When the majority of altcoins provide a real product and goals that altcoin is moving towards, more users will become interested in them, not just speculators.