How much does Bitcoin affect other cryptocurrency?

[Silberman]

And when the value of bitcoin falls, the value of other cryptocurrencies also fall, meaning that the impact of Bitcoin is strong regardless of its price in the market.

Not most of the time, there are some altcoin that continues to go up even when bitcoin is going down during altseason but yes I can agree that the impact of bitcoin is strong given that the down times can be an indicator for altseason.

The movements of altcoins are not exactly as the ones you can find in bitcoin, but they are extremely similar, if you take a look at the moment when we shift from a bull market to a bear market you will see that very few altcoins will still go up in value one month after bitcoin began to go down, the majority react very quickly to the influence of bitcoin and they go down just a few days or weeks after bitcoin has began to do so, demonstrating once again the high correlation that bitcoin and altcoins have.

[southerngentuk]

The prominence of bitcoin and its being the first cryptocurrency with a large market cap go without saying when it affects the entire cryptocurrency market. The price movements of altcoins closely resemble Bitcoin's performance, and Bitcoin's market sentiment often spreads to other cryptocurrencies. This correlation is closely tied together by factors such as market sentiment, investor behavior, and the liquidity provided by Bitcoin. So, once the price of bitcoin rises, it can cause altcoins to rise quickly, and vice versa, when bitcoin falls, it can also cause altcoins to fall deeply.

[BitDane]

The prominence of bitcoin and its being the first cryptocurrency with a large market cap go without saying when it affects the entire cryptocurrency market. The price movements of altcoins closely resemble Bitcoin's performance, and Bitcoin's market sentiment often spreads to other cryptocurrencies. This correlation is closely tied together by factors such as market sentiment, investor behavior, and the liquidity provided by Bitcoin. So, once the price of bitcoin rises, it can cause altcoins to rise quickly, and vice versa, when bitcoin falls, it can also cause altcoins to fall deeply.

This happen because Bitcoin has direct impact on the whole cryptocurrency.  When Bitcoin is doing well it can attract new investors which can even give new investors to other cryptocurrency which can give an increased demand to other cryptocurrency.   Although some altcoin market move independently in most cases, they are still affected when Bitcoin become bullish because the hype of Bitcoin is spread out to the entire cryptocurrency ecosystem.

[drwhobox]

The prominence of bitcoin and its being the first cryptocurrency with a large market cap go without saying when it affects the entire cryptocurrency market. The price movements of altcoins closely resemble Bitcoin's performance, and Bitcoin's market sentiment often spreads to other cryptocurrencies. This correlation is closely tied together by factors such as market sentiment, investor behavior, and the liquidity provided by Bitcoin. So, once the price of bitcoin rises, it can cause altcoins to rise quickly, and vice versa, when bitcoin falls, it can also cause altcoins to fall deeply.

Bitcoin was created before any other cryptocurrency, and bitcoin is the perfect technology to use against fiat. Bitcoin price definitely affects other cryptocurrencies because most of people trade other cryptocurrency against bitcoin and bitcoin holds the largest share in the cryptocurrency market. There are other major factors but I think this one is one of the major reason why bitcoin affect other cryptocurrency.

[Hispo]

The prominence of bitcoin and its being the first cryptocurrency with a large market cap go without saying when it affects the entire cryptocurrency market. The price movements of altcoins closely resemble Bitcoin's performance, and Bitcoin's market sentiment often spreads to other cryptocurrencies. This correlation is closely tied together by factors such as market sentiment, investor behavior, and the liquidity provided by Bitcoin. So, once the price of bitcoin rises, it can cause altcoins to rise quickly, and vice versa, when bitcoin falls, it can also cause altcoins to fall deeply.

Bitcoin was created before any other cryptocurrency, and bitcoin is the perfect technology to use against fiat. Bitcoin price definitely affects other cryptocurrencies because most of people trade other cryptocurrency against bitcoin and bitcoin holds the largest share in the cryptocurrency market. There are other major factors but I think this one is one of the major reason why bitcoin affect other cryptocurrency.

Besides the fact that most of the altcoins trade against Bitcoin and the position of Bitcoin as the biggest coin by market capitalization. It could also have something to do with the influence of Bitcoin over the total value of the Cryptocurrency market, in a sense that, some traders may use the change of that metric to position themselves while doing their operations. If Bitcoin loses value, because it's dominance, it means the the total market value descents faster than it would if other currencies like Ethereum or Litecoin did. A green day for Bitcoin can be translated to a green day for other coins, since the increase of total value of the market may make traders feel bullish.

[fuguebtc]

The prominence of bitcoin and its being the first cryptocurrency with a large market cap go without saying when it affects the entire cryptocurrency market. The price movements of altcoins closely resemble Bitcoin's performance, and Bitcoin's market sentiment often spreads to other cryptocurrencies. This correlation is closely tied together by factors such as market sentiment, investor behavior, and the liquidity provided by Bitcoin. So, once the price of bitcoin rises, it can cause altcoins to rise quickly, and vice versa, when bitcoin falls, it can also cause altcoins to fall deeply.

Bitcoin was created before any other cryptocurrency, and bitcoin is the perfect technology to use against fiat. Bitcoin price definitely affects other cryptocurrencies because most of people trade other cryptocurrency against bitcoin and bitcoin holds the largest share in the cryptocurrency market. There are other major factors but I think this one is one of the major reason why bitcoin affect other cryptocurrency.

It was created to be a perfect alternative, it is not against fiat, as these false propaganda has led the government never to become friendly with bitcoin. Although the market has more than 20,000 coins each, but so far, no alternative currency can be better than bitcoin. It can be said that bitcoin is old, old and slow, but it is still superior in terms of security and privacy, and that is why it is always the choice of many people. While altcoins are just a pump and dump market used for speculation and don't offer any benefit or use case. Although people seek quick wealth from altcoins, in the long run, they always look to bitcoin, it remains the top choice of people.

[Reid]

I am follow an account on Instagram that shows how much bitcoin and some other cryptocurrency´s are worth every 24 hours. and something I have noticed is almost every time bitcoin goes up many other also go up.
And when bitcoin goes down many other also go down, of course this don´t apply everyday and all currency´s.

That was the case now unlike before. Bitcoin goes up, altcoin go down and vice versa. But when the stablecoins were created it became different Bitcoin up, altcoin goes up too.

My real question maybe is. If cryptocurrency´s follow each other. whats the difference if you invest in BTC or ETH or USDT for example. If you invest in all three $1000 each.

Because that might not be the case on some season. Bitcoin could go up, but it doesn't mean all alts will be dragged by it. You should also try to monitor the altcoin that you are buying if it behaves like Bitcoin whenever it fluctuates or if there is a history where it doesn't move at all whenever Bitcoin moves.
It doesn't always mean it will go the same way as Bitcoin just because you heard or read it from someone else.

[ethereumhunter]

Investing in BTC for $1000 for 1 year might make you a big profit while investing in ETH will depend on how the price moves. If the price of BTC goes up after 1 year, it will also affect the price of ETH so you can also benefit from BTC and ETH. But if the price of BTC has not been able to increase after 1 year, you still have a chance to profit in the long term.

But if you invest in USDT, if you don't use a lot of money, your profit will not be big because the price movement of USDT is not that big compared to BTC. So people prefer to invest in BTC because the return on investment is bigger.

Altcoins hold on to BTC while BTC stands alone and influences altcoin prices. Maybe I'm wrong on this and you should look for more info.

[retreat]

In my opinion Bitcoin has a significant impact on the crypto market because it is a reference for investors to be able to determine their steps in crypto investment. When the price of Bitcoin tends to increase, investors will start buying Altcoins because they are quite confident that they will be able to get profit from it and it is not only done by one investor, but many. Therefore, when the price of Bitcoin tends to increase, the price of other crypto will also increase and vice versa.

[AmoreJaz]

In my opinion Bitcoin has a significant impact on the crypto market because it is a reference for investors to be able to determine their steps in crypto investment. When the price of Bitcoin tends to increase, investors will start buying Altcoins because they are quite confident that they will be able to get profit from it and it is not only done by one investor, but many. Therefore, when the price of Bitcoin tends to increase, the price of other crypto will also increase and vice versa.

this maybe true to some alts particularly the top alts. but some have their own market performance because it depends on how the team is manipulating their market esp if the market volume is small where they can basically dictate where it will head to.
the influence of btc is limited to some alts, so if you are into investing in alts, you also need to dig deeper and not only observe the btc movements. the performance of the alts in the market is heavily dependent on the actual developments of the alt itself.

[Dickiy]

Cryptocurrencies do not go hand in hand, although yes they have cooperation with each other in terms of development and marketing, but in my view they are all competing with each other to survive in the market, they are competing to increase the effectiveness and efficiency of the services they perform. then how about bitcoin, does it have a big influence on altcoins? according to yes, of course bitcoin has a high dominance of influence, because 80% of Altcoins follow bitcoin's movements in its price volatility and become a reference symbol for all blockchain networks.
Bitcoin being the biggest symbol and icon of crypto or decentralized digital currency, if Bitcoin doesn't have influence, I don't think any alt will exist.

[Fivestar4everMVP]

It all boils down to dominance, there are currently thousands of cryptocurrencies excluding bitcoin and Ethereum, and in all of this coins, bitcoin currently has the highest market dominance and Ethereum is following, so what does this mean?

It simply means that, when the price if bitcoin goes up, there is a chance it will drag the price of other crypto coins up with it, and it is also the same when it goes down, but this does not mean that every crypto work hand in hand, crypto currencies are independent of each other, it's just that we are still very early and the market is still growing, a time wil come when bitcoin has far lesser dominance on the market, it's movement won't affect other crypto currencies any more.

[The Cryptovator]

Altcoins in the cryptocurrency market do not necessarily follow each other; rather, they tend to track Bitcoin's movements. When Bitcoin experiences price fluctuations, many altcoins react promptly, while others may follow suit at a later time. This phenomenon is evident during pump-and-dump scenarios as well. However, there are instances when altcoins behave differently, even when Bitcoin remains relatively stable. Nonetheless, it is not surprising that the overall market heavily relies on Bitcoin's movement, considering its prominent position within the cryptocurrency ecosystem.

[TheGreatPython]

Investing in BTC for $1000 for 1 year might make you a big profit while investing in ETH will depend on how the price moves. If the price of BTC goes up after 1 year, it will also affect the price of ETH so you can also benefit from BTC and ETH. But if the price of BTC has not been able to increase after 1 year, you still have a chance to profit in the long term.

But if you invest in USDT, if you don't use a lot of money, your profit will not be big because the price movement of USDT is not that big compared to BTC. So people prefer to invest in BTC because the return on investment is bigger.

Altcoins hold on to BTC while BTC stands alone and influences altcoin prices. Maybe I'm wrong on this and you should look for more info.

USDT is a stablecoin, and no one invests in stablecoins knowing they have their value pegged with US dollars and have zero volatility hence no chances of getting profit. I don't see why would someone compare Bitcoin or any other cryptocurrency with USDT or any other stablecoin since they have different natures and use cases.

You could say the same for another altcoin but even that wouldn't be true. To get more profits from Bitcoin, you will need a bigger capital while you can earn better profits in the short-term if you invest the same amount in any altcoin.

[Victorik]

Other crypto currency depends largely on BTC. BTC is like the lifewire of the crypto space and that's why whenever there's a dump on BTC, it literally affects all other altcoins.

[ethereumhunter]

Investing in BTC for $1000 for 1 year might make you a big profit while investing in ETH will depend on how the price moves. If the price of BTC goes up after 1 year, it will also affect the price of ETH so you can also benefit from BTC and ETH. But if the price of BTC has not been able to increase after 1 year, you still have a chance to profit in the long term.

But if you invest in USDT, if you don't use a lot of money, your profit will not be big because the price movement of USDT is not that big compared to BTC. So people prefer to invest in BTC because the return on investment is bigger.

Altcoins hold on to BTC while BTC stands alone and influences altcoin prices. Maybe I'm wrong on this and you should look for more info.

USDT is a stablecoin, and no one invests in stablecoins knowing they have their value pegged with US dollars and have zero volatility hence no chances of getting profit. I don't see why would someone compare Bitcoin or any other cryptocurrency with USDT or any other stablecoin since they have different natures and use cases.

You could say the same for another altcoin but even that wouldn't be true. To get more profits from Bitcoin, you will need a bigger capital while you can earn better profits in the short-term if you invest the same amount in any altcoin.

Who knows if anyone wants to invest in USDT but I guess people keep USDT only for a while when the price of the crypto goes up so they wait for the price to go down to start buying the coins they want.

Maybe what you said is right but we don't know when the altcoin price will increase and also, we don't know which altcoin will increase. If you choose ETH or BNB, you may get a better profit. But if you compare it to investing in Bitcoin with the same amount, I think your profit will also be better if you invest for the long term. But whatever it is, you must find the right coin because we have a list of different coins to invest in.

[irhact]

My real question maybe is. If cryptocurrency´s follow each other. whats the difference if you invest in BTC or ETH or USDT for example. If you invest in all three $1000 each.
How will it look at each invest after example 12 months? I understand its impossible to predict something like this, but some guideline.
If they follow each other very often with +/- then the profit/loss should not be a huge difference?

Every cryptocurency follows the direction of Bitcoin, when Bitcoin is pumping others get pumped as well. When Bitcoin is dumping others get dumped as well. The only time there might be a different is when there's a bullish news for a particular altcoins and it rise when bitcoin and other altcoins are dumping but that doesn't happen everytime.

At times the influence of Bitcoin overshadows other positive news for those altcoins and they dump because Bitcoin is dumping even when they have positive news surrounding them. The difference is the price gain for the altcoins, they can't be the same due to many reasons.

[Minor Miner]

Investing in BTC for $1000 for 1 year might make you a big profit while investing in ETH will depend on how the price moves. If the price of BTC goes up after 1 year, it will also affect the price of ETH so you can also benefit from BTC and ETH. But if the price of BTC has not been able to increase after 1 year, you still have a chance to profit in the long term.

But if you invest in USDT, if you don't use a lot of money, your profit will not be big because the price movement of USDT is not that big compared to BTC. So people prefer to invest in BTC because the return on investment is bigger.

Altcoins hold on to BTC while BTC stands alone and influences altcoin prices. Maybe I'm wrong on this and you should look for more info.

USDT is a stablecoin, and no one invests in stablecoins knowing they have their value pegged with US dollars and have zero volatility hence no chances of getting profit. I don't see why would someone compare Bitcoin or any other cryptocurrency with USDT or any other stablecoin since they have different natures and use cases.

You could say the same for another altcoin but even that wouldn't be true. To get more profits from Bitcoin, you will need a bigger capital while you can earn better profits in the short-term if you invest the same amount in any altcoin.

Who knows if anyone wants to invest in USDT but I guess people keep USDT only for a while when the price of the crypto goes up so they wait for the price to go down to start buying the coins they want.

Maybe what you said is right but we don't know when the altcoin price will increase and also, we don't know which altcoin will increase. If you choose ETH or BNB, you may get a better profit. But if you compare it to investing in Bitcoin with the same amount, I think your profit will also be better if you invest for the long term. But whatever it is, you must find the right coin because we have a list of different coins to invest in.

USDT is a stablecoin, it doesn't have any volatility to make a profit, I don't think anyone will invest in it, this is the first time I heard of investing in USDT, LOL.

The profits of bitcoin used to be so great, it created a lot of millionaires in the world. But if to compare the returns of bitcoin with altcoins these days, bitcoin is not comparable to altcoins. What bitcoin gives us is safety that is superior to all altcoins, but in terms of returns, bitcoin is not comparable to altcoins. It's a truth that many bitcoin maximalists won't want to hear, but it's true. But don't forget, not all altcoins are profitable, and finding potential altcoins is up to each investor's ability.

[Plaguedeath]

USDT is a stablecoin, and no one invests in stablecoins knowing they have their value pegged with US dollars and have zero volatility hence no chances of getting profit. I don't see why would someone compare Bitcoin or any other cryptocurrency with USDT or any other stablecoin since they have different natures and use cases.

Technically it's possible, but unlikely people interested about it.

Let's say you invest $1,000,000 in USDT when the price is $0.9998, so you now have 1,000,200 USDT. If the USDT price went up to $1.0018 and you sell it, now you have $1,001,700. But it's just a rough calculation, you still need to consider about the trading fee and exchange fee.

And yeah it's hilarious to compare Bitcoin with USDT in investment.

[Crptomagma]

 I put it to us that Bitcoin influences all cryptocurrency. Every other coins are dependent on Bitcoin. Once Bitcoin price increase u see other coins increasing and once it is down they go down with it.