Topic: Does Altcoin price depend on BTC or ETH?? - page 57. (Read 139684 times)
Altcoin prices mostly depend on bitcoin. Even if the trading pairs of the coin is in ethereum, the price of ethereum depends on the price of bitcoin which means that the prices of coins depends on the price of bitcoin whether directly or indirectly due to trading pairs. That is why you see that when the price of bitcoin falls, then the prices of all the other altcoins in the market start falling too.
For short periods of time, young crypto-currencies, the connection with the bitcoin rate is high. As the popularity of altcoyin increases, communication weakens.
ALT coin’s value is highly correlated with the increase of BTC and vice-versa. Let’s add the USD to the ratio where ALT/BTC is also ALT/USD / BTC/USD. If people are buying more bitcoins then they are increasing the BTC/USD value. But since ALT is also rising, it means that BTC is also traded to buy ALT resulting in an increase of ALT/BTC which can also be translated to an increase of ALT/USD. The opposite is also correct, the decrease of ALT/BTC and BTC/USD together is a result of a quick sell of both BTC and ALT.
Since most of the alt coins are traded with BTC or ETH. SO I think altcoins prie are dependent on the price of this two.
What is your opinion please share.
What is your opinion please share.
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