Why when the BTC goes up the ALT goes down?

[wheelz1200]

Hi all,

I don't understand why when the BTC goes up then the ALT goes down?

Can someone explain me why?

Thank you

Simple:

Most alts are only a gambling mechanism to get more bitcoin.  So when bitcoin goes up, most people sell their alts because they don't want to miss the bitcoin spike.  Dont altcoin too often or you will end up at a loss.

[TastyChillySauce00]

People are tanking their altcoins to the market, the correlation between bitcoin pump and altcoin pump will be last forever. You must know that the news was playing a very important role in this case.
people are massively moving to the bitcoin after the bad case that happened with XRP. they were starting to dump their coins to the market.

[Wulan_maniez]

Hi all,

I don't understand why when the BTC goes up then the ALT goes down?

Logically, if Bitcoin continues to strengthen, then the demand for bitcoin is getting higher. This caused the alternative cryptocurrency
market Altcoin to be hit, resulting  in increasing  selling pressure  and less demand,  as the  Bitcoin market sucked up  the volume of
the entire cryptocurrency market.

[Crislyn4116]

This is a bit tricky but this kind of question is better than not trying to be obsevant in the market. As btc price goes up, why alts goes down? For this question, i have simple answer about it; but of course this is IMO.

The situation where btc goes up while alts goes down is when bitcoin dominance is surging up. This dominance based the number of cash flows on either btc or in alts. One of the example is when btc is in bull run as what happened right now. Recently as btc climbs the price territory of 19k, many alts were on red market. These shows that the amount of cash (or shall we say amount of asset) flowing in the market favors bitcoin BTC.  However, after considering this scenario, alts eventually recover which turned into bullish same with bitcoin.

In other words there are certain chances that the price of btc goes up while alts goes down. That is why i meant it tricky in my first paragraph because of the situation it may arise.

[Reid]

The same goes for when Bitcoin goes down.
Alts will also be dragged down.
This kind of market is not the same as 2017-2018.
The entry of stable coins changed everything. Traders will start selling Bitcoin and altcoins for USDT or any form of stable coins.
It takes out the risk of losing more.

[Blitzboy]

Its normal. The reason is because they want to buy more and more bitcoin when it has a strong pull force. And they tend to sell their altcoins or find any source of money in order to collect bitcoin. Then, when bitcoin reaches an affordable price, they will buy altcoins so as for the altcoins pump

[qory]

Well if you see Bitcoin go high and all the signals are present and you were holding a coin that doesn't change for a long time for sure you are going to sell it and buy Bitcoin that's the only reason that I see why the altcoin goes down.

[trauchot]

I would not say that it always happens, you by yourself probably already saw that throughout 2020 bitcoin was growing in price and altcoins were also growing in price throughout 2020, so usually if bitcoin rises or falls in price then altcoins do the same, of course there are exceptions, but this is usually rare.

[torrantz]

Its normal. The reason is because they want to buy more and more bitcoin when it has a strong pull force. And they tend to sell their altcoins or find any source of money in order to collect bitcoin. Then, when bitcoin reaches an affordable price, they will buy altcoins so as for the altcoins pump

It's not caused by that. The ripple case was creating a lot of fear to the altcoin market and the whole of altcoins was dumping.
They are not having the intention to sell their altcoins for bitcoin but they are trying to secure their money through converting it into the stable asset like USDT or another stable coin.
It's not always they wanna collect more and more bitcoin.

[Sun2k]

Hi to all... I'm impressed by all these answers and the content that benefits beginners like me, I learned a lot from all these answers... Thank you all for taking the time to answer...The best forum in the world...

[acener]

Hi all,

I don't understand why when the BTC goes up then the ALT goes down?

Can someone explain me why?

Thank you

The reason could be that the holder's are selling or converting their alt-coins to BTC,
That is the only reasonable explanation about it other wise there is nothing more that I could think of.

[cassavachips]

Altcoins do not always dump when bitcoin pump, but it seems like automatically altcoins will experience a correction when bitcoin rises. There are some altcoins that can survive and follow bitcoin as it rises but most altcoins are always correcting.

Most likely it is because when the dominance of bitcoin rises, many of the flow of funds shifted to bitcoin rather than altcoins so that altcoins lost their purchasing power temporarily. So far, market conditions have always experienced this.

[sgenuine]

My opinion is that with any strong movements of Bitcoin, almost all altcoins seem to be hiding. When the hype subsides, altcoins are again in sight and begin to move after bitcoin. Investors think that altcoins get little attention for all their advantages and the slightest movement begins to buy them. When the price falls, they try to get rid of them as soon as possible and collapse the price.

[ije07]

In short, the fluctuation of the price of a coin can change at any time and an increase in a coin cannot be used as a benchmark that the coin can maintain its value in the following days. even though BTC is one of the top coins and dominates the crypto market today it doesn't mean that when the price of BTC goes up the ALTCOIN also goes up and vice versa.

[Pamadar]

In short, the fluctuation of the price of a coin can change at any time and an increase in a coin cannot be used as a benchmark that the coin can maintain its value in the following days.

You need to keep working with your knowledge and not to relied with how market behaves in a certain period of time.

even though BTC is one of the top coins and dominates the crypto market today it doesn't mean that when the price of BTC goes up the ALTCOIN also goes up and vice versa.

Might have some impact but it will keeps depending with how traders and investors moves along the way, your knowledge will save you a lot so better to keep enhancing your skills in positioning your investment.

[Sithara007]

OP needs to clarify that he is mentioning about the market share and not about the exchange rates. If the exchange rates are concerned, then the altcoins always go up whenever the Bitcoin prices are up. But during the current rally, the altcoin prices have not gone up as much as that of Bitcoin, for obvious reasons. And that is the reason behind the decline in their market share.

[chichidori]

Bitcoin is eating the market almost all new traders wants a piece of it, altcoins are being overlooked the most that will suffer are those under top 50 list on CMC some altcoins are struggling to get afloat some have done massive giveaway and airdrop to increase holders and awareness but the outcome is a disaster.   

[poodle63]

One factor would be that there a no new investors for bitcoin. These are mostly traders who trade bitcoin to altcoin and vice versa. Meaning old holders of altcoins that switches to bitcoin to hold.

This is not true at all. There are many cash flowing in to bitcoin market even in the recent month from big players. You should read the news about this kind of things more because the main reason why bitcoin is so bullish right now is because many investment firm decides to diversify their portfolio in cryptocurrency more specifically bitcoin which means the market got opened up to much much more liquidity and increase in market capitalization.

[Sun2k]

Thank you all, and how do you explain when there is a big red candle on BTC then most ALT's also have a big red candle?

[ardentvolcanoes]

Thank you all, and how do you explain when there is a big red candle on BTC then most ALT's also have a big red candle?

Simply because fear take place, there are many traders who are being moved by  fuds, the more they've seen negative trend with bitcoin since it's the

main basis of crypto, they think that collapse may happened to all projects inside the market, they are basing their decisions with the sentiments of most

traders, failure to understand the value of doing your research but instead, just quickly follow the trend and lose their investment.