Topic: BTC breaks $1400 barrier, altcoins going on the red (Read 2137 times)

Hard to find a fault in CoinHoarder's thought process. Definitely seen one too many candlesticks lit and burn out in the ALT temple. Maybe, I should reconsider my bullish stance

I am in no way a Bitcoin maximalist. I have been one of the biggest supporters and believers in ALT coins for years now. Just about all of my posting history in the past five years has been in the ALT coin subforums. I see the value in ALT coins and believe some of them will be incredibly valuable one day.

However, at the same time I am also a realist who understands cryptocurrency market dynamics after following them closely for years. Most ALT coins are in a bubble, and Bitcoin is nearing a bubble. Both bubbles will eventually pop. It is not foolish to dump ALT coins while Bitcoin is testing new all time highs, nor is it foolish to sell both Bitcoins and ALT coins for FIAT after the Bitcoin bubble pops... because all markets will likely trend downward (as they always have in the past when that happens.)

It is foolish to claim Bitcoin is not the king of cryptocurrencies. The network effect reigns supreme, as it is Bitcoin that is in the news all day everyday and it is Bitcoin that brings in new people to the cryptocurrency ecosystem. Someone is exponentially more likely to hear about Bitcoin before any random ALT coin. Almost all trading volume for ALT coins is in BTC trading pairs. To buy almost every ALT coin you need to go through Bitcoin. Almost all services and merchants accept Bitcoin, but services are exponentially less likely to accept any random ALT coin. Bitcoin's market cap and volume dwarfs all other ALT coins combined. Bitcoin is heavily intertwined with the ALT coin ecosystem, and market dynamics of Bitcoin effect ALT coin markets directly.


Although I agree with the bolded... you could also say that another mark of a great trader is to know when to sell. Knowing when to both buy and sell is supreme over only knowing when to buy or only knowing when to sell.

That is the hardest part about all of this... determining when the bubbles will pop. There could still be profits to be made in the ALT coin markets before the ALT coin bubble pops, but it is close enough to that time for me to sell all of my ALT coins and wait for it to do so. So far that decision has paid off, because as of one (or in some cases two) day(s) ago my portfolio is 100% in BTC. Meanwhile, most of the ALT coins I used to hold have been going down.

Maybe I will end up being wrong, but so far I am liking my decision and thought process.

But it seemed that way over a month ago, because the last bull market didn't last very long.  It seemed this one might end when the last one did, but it kept going up.  I agree it's a risky time to buy, but it seems that's the mark of a great trader, being able to put a little in at times of maximum pessimism.

well comparatively right as we knew those alts which cater real project and progress is no longer relying with btc hype, they are looking for their own sole purposes, we already seen the picture that after some time that alts when red they are now starting to show green again without waiting for btc to fall down.

It looks like a post of very Bitcoin religious people, that seek grow only for BTC, see only BTC and do not recognise value of any other coin/asset. Your "collapse obsessed" mood is ridiculous.

To dump coin market now, at this stage, would be soooo cheap, so irrational and so naive, at the time when it just start gets investors attention around the world.

Any alts can leave and have value without BTC: XRP will do its settlement/remittance, LTC will be better choice of BTC in some places of the world, ETH will serve as contract, GNT will run supercomputers, XMR/ZEC/DASH will do its privacy in one or another way, and they do not need BTC for that, latter needed only for exchanges.

So BTC neither king nor god, another yet crypto coin. Making it central, does not come together with being decentralized.

Interesting view of the sia team
https://blog.sia.tech/want-to-deflate-the-token-bubble-fix-the-market-cap-indicator-d50f7f1e1ec4

We don't know if this is due the ETF only. The ETF may be fueling it but nobody knows what will happen after MAY 15. Remember that the price started growing before we knew the SEC was reviewing the ETF, so we may see a quick dump that will go up again and the rise will continue. The altcoin bubble is also taking out some of BTC growth, it may pop and the BTC price may go to new ATH. Shorts beware.

This is why I think an ALT crash is looming. You are definitely not the only one that is hesitant to put more money in ALTs at the moment. I think most reasonable informed investors probably feel the same way. Only the true rose colored glasses ALT investors and total noobs are buying at this time. The money held by those two groups will dry up sooner or later.

Couple that with the fact that most ALT coins are inflating, whether it be from block rewards or PoS rewards, and that most people sell this inflation to obtain Bitcoins (which is even more amplified at the moment with Bitcoin mooning.) When you combine this inflation with a diminishing market of ALT buyers, and a growing market of ALT sellers, bad things are sure to happen... sooner or later. Personally, my bet is on sooner rather than later because I expect Bitcoin to continue its climb, and expect more blood to be spilled in the ALT markets once the market realizes Bitcoin is in a bear trap.

All of the alts are overpriced but that's the trend now it seems. Maybe we have been used to low prices for so long that this doesn't seem right to us. I know what you mean. ETH at 70 Dash at 90 plus many others pumped way over their normal values. I just hope this is the norm but I'm hesitant to put more money in at this point.

The marketcap on all coins is 38 billion.   Money isn't leaving the market into fiat. 

I agree fully, except the buy altcoins part.  They're massively inflated too, and most of them wouldn't be worth buying at 1 sat anyway.   But bitcoin is high and we all ought to be careful buying right now.  But you never know.   We could very well be on the long awaited rocket ship to the moon, and it does seem like new money is starting to pile in.

anyone who believes this is a great time to get into alts is nuts.

there's way further to fall yet. is 60 to 70 dollar eth in any way justifiable?

and the bitcoin rise could end badly too. anything above 1100 hangs on bitfinex and they're yet another disaster in waiting.

I don't buy the etf thing as the cause. it's no more than a formality.

Not really any different to the pre ETF rejection alt-pocalypse.  Look at https://coinmarketcap.com/charts/- new money is flowing into the crypto market like never ever before. Fill your bags boys, you'll thank me in 5-10 days.

this is like my my "Valar Morghulis" topic all over again. bitcoin rises and all the shitcoins start dying like flies.

what people usually miss is the history. looking back at it you can see all these patterns all over the charts. bitcoin stops rising or falls a bit and altcoin pumps begin.
why do you think people pump altcoins? they want to make PROFIT while bitcoin is not rising.
and when it does they focus all their attention to bitcoin (where profit really is). and because of that altcoins get dumped and again because of the dump panic starts and the chain dumps begin. have you ever heard of the term panic sellers, that is what happens after the first dumps by whales.

some said "it is good time to buy cheap coins". i agree with that. but be very careful to buy at the bottom not before it. there will be dead cat bounces but if you buy higher than bottom you won't be able to make profit.
also make sure to get out fast after the bounce.

Altcoins will just recover once bitcoin price stop on inflating. Altcoin price is based on bitcoin current price. They are all chained in each other. I heard some new that the price inflation will still moving until it reached 1600 price. I'm sure that the red days for altcoins eill last a little bit longer.

This was because the appreciation of Bitcoin was huge and it also reached $1500 plus in short time and people were expecting to see it more higher considering it uptrend. It the increase was gradual altcoins were still remaining green but they have recovered successfully. In almost every altcoin market already seems solid floors and soon they will turn into green.

My thought if altcoin is not on the bubble. But bitcoin is a big bubble right now. BTC-e & Bitfinex price is so odd.
Both leading the bitcoin price and already touched over $1500.
If this a second hype for bitcoin ETF and the bubble will pop soon.

I think so, because all of the altcoin gets dumped so hard. This will be our opportunity to grab it.

After the bubble of bitcoin will be ended in the future and another big waves for altcoin will be coming asap.

it is very possible that SEC rejects ETF another time and price of bitcoin drops again!
but that doesn't necessarily mean anything can change with altcoins. one thing is a bit more sure, and that is the fact that ETH will drop harder, because they have been pumping for the past month and the bubble just gets bigger and with BTC ETF they started spreading some lies about ETH ETF and hyped the price up again, increasing the size of the bubble. at the very least i can say the price looks scary at this point and with each pump it gets even scarier because things become more unstable.

oh man litecoin has been on a weird path once again, i am looking at the 2 hour charts of polo and the big dump looks ridiculous and then that big just after it is even more ridiculous!
i hope you bought at 0.0098BTC 12 hours ago

Good on you for pointing out that it is risky either way. Nothing is ever as simple as the two posters you quoted make it seem. Sure, selling Bitcoin to buy Alt coins right now could prove to be profitable trades. However, that could also easily prove to be quite unprofitable. If Bitcoin continues its bull run, and the bottom falls out of the hyper inflated ALT coin markets, then these guys are in for a bad time. It is a very real possibility that Bitcoin continues up towards $2k and people keep flooding out of the ALT markets. Personally, I am taking the opposite position that they are. I am 100% in BTC at the moment until it starts showing signs of a reversal. At that time, where I will go from there depends on what the ALT markets are doing.

I could see both the Bitcoin and ALT markets going quite bearish simultaneously. In that case I'll be sticking my money in bitUSD or Steem Dollars, as they are pegged to the US dollar. But if the ALT market seems bullish when Bitcoin goes bearish, then I will divest back into some ALT coins. I think the former is more likely though (ALT market bearish simultaneously with the BTC market), because the ALT market has been heavily pumped and hyperinflated way too fast. Also, I know from being around over the years... historically, when Bitcoin is bearish for an extended period of time so is the ALT coin markets. Historical charts will back this up if you take a look at Bitcoins booms and busts compared to ALT coins' graphs around the same timeframe.

Until history proves me wrong, then I prefer to stick with historical data rather than speculating that the ALT market is suddenly mature enough to go against historical tendencies. If that is the case, I will change my strategy in the next book and bust cycle.

Then again, maybe they are right and I am wrong. That is why it's called speculation. 😂

Buy low, sell high. Bitcoin is high right now. Sell it off and invest in whichever altcoins you're interested in as he said. Then, buy back in when the price dips down a little bit.