Monday’s drop ended the two weeks of low-volume consolidation for Bitcoin. It has steadily increased since then, but altcoins have outperformed this week. Bitcoin’s hard fork competitor Bitcoin Cash is up over 7% in the last 24 hours amid news that Binance will be supporting a hard fork of Bitcoin Cash.
Regardless, Bitcoin still is the dominant leader in the cryptocurrency representing around 53% of the total cryptocurrency market cap. Its movements are important for altcoins and although it has been undergoing an unusually long spell of low volatility and consolidation, any significant increase in trading activity and price direction for the Bitcoin is likely to be mirrored by the majority of the altcoin market.
Bitcoins drop on Monday has been followed by an appreciation. Trading is still taking place on low amounts of volume, and there is no dominant direction in which price is headed.
Bitcoin has been approaching the end of a triangle pattern which it has been forming since March. Price action is still trading within this pattern, but it is likely that the bulls or the bears will take control as price action nears the end of this pattern.
RSI is trading around 45 and MACD is trading flat which is representative of the low levels of activity we have been seeing in Bitcoin trading.
- Altcoins have outperformed this week.
- Bitcoins remains the dominant leader in the cryptocurrency market representing 53% of the market cap.
- A slow appreciation has followed the drop on Monday in Bitcoin.
- Bitcoin is approaching the end of the triangle pattern, and if bulls or bears take control, a corresponding reaction would be expected in altcoins.
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