Why do Altcoins not gain when BTC lose ground ?

hase0278

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Quote from: Asimmo on July 25, 2017, 01:51:19 PM

+1
That`s it..

BTC is still trend and fashion dominant..

It is not just because of it. In the past when bitcoin pump, altcoin dump and vice versa. when you look at it now, some altcoins follow the same trend or movement with btc, but not all and I think it is because investors mainly want out of an altcoin when btc dumps, before that particular altcoin dumps, causing a chain of sell with other traders or holders wanting to do the same. It is not because of bitcoin price becoming the flag of crypto currency market but I agree in the part that it represents the investor's faith in the market.

Trac3y

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Quote from: solarrobot on July 25, 2017, 01:33:58 PM

Because someone with a lot of money is trading all alts at the same time with a bot, and figured out they can make more money if they crash the market by withdrawing high, and then buying back in really low.

The reality is, crypto is a tiny market compared to other finance, which means that when big money comes in, it moves everything. When it moves money out, it moves everything.

In the past altcoins were only bought with bitcoin. Nobody who didn't already have bitcoin was buying any altcoins. Obviously this would have the inverse relationship people are suggesting. These days, people are buying into a lot of the major projects with cash through bitcoin and ethereum.
Over time cryptos will have their own ecosystems connected to different real world applications, and they won't be moving in such lockstep.

As others have said all the crypto is in the same pool of water, and ~80% of the fiat gateway traffic is through bitcoin and ethereum. https://coinmarketcap.com/currencies/volume/24-hour/#USD

Yes .

The someone with money are mostly coin owners and exchanges that have the coin numbers but sure some guys do buy coins up .Ive done that on small cap coins when low enough . Also the reason for trading most alts is to get BTC even the "someone with lots of money" owning a good piece of Altcoin coin distribution will sell Altcoin to hedge BTC price drop. Altcoins, the BTC Hedging tool lolz

HughCaires

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Quote from: Trac3y on July 25, 2017, 05:55:17 AM

This is something i cant understand. Why do coins seem to follow BTC price. Look at ETH ,Ripple most coins move according to BTC. One would think if the trading pair doing worse a coin would get stronger ,but its not the case. Seems fake

I think it has to do with the path from crypto to USD (or your local fiat). People who are investing in cryptos, whether that be alt or BTC, are typically looking for an eventual return into their fiat. Because BTC is the most valuable and stable, people tend to trade alts into BTC. Therefore, the value of alts is based on BTC but when BTC goes up it does not necessarily mean that the alt will go up as well. But obviously, it BTC goes down your alt will likely decrease as well.

Asimmo

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Quote from: helloge on July 25, 2017, 10:33:00 AM

I think the main reason is that the bitcoin price has become the flag of the crypto currency market, it represents the investor's faith of the market. So we can see almost all the coins pump and dump to follow the Bitcoin.

+1
That`s it..

BTC is still trend and fashion dominant..

4hajs

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solarrobot

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Because someone with a lot of money is trading all alts at the same time with a bot, and figured out they can make more money if they crash the market by withdrawing high, and then buying back in really low.

The reality is, crypto is a tiny market compared to other finance, which means that when big money comes in, it moves everything. When it moves money out, it moves everything.

In the past altcoins were only bought with bitcoin. Nobody who didn't already have bitcoin was buying any altcoins. Obviously this would have the inverse relationship people are suggesting. These days, people are buying into a lot of the major projects with cash through bitcoin and ethereum.
Over time cryptos will have their own ecosystems connected to different real world applications, and they won't be moving in such lockstep.

As others have said all the crypto is in the same pool of water, and ~80% of the fiat gateway traffic is through bitcoin and ethereum. https://coinmarketcap.com/currencies/volume/24-hour/#USD

riskthebiscuit

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For one thing its not fake, its very real. Out right they are inversely related so this makes much sense imo. However, the markets are irrational themselves so really any movements in any direction means things are okay. In fact if you expected them to do the same thing every time then market would be predictable and rational. This is not how the markets work. They do not care for you, or wait for you, they do whatever they damn well please based off the huge # of individuals playing them.

chutchmcgillicutty

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you can only buy 99% of altcoins with BTC

jyotianand01

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everyone is confused with this behavior of altcoins as both coins of every pair going in same direction. if btc up, altcoin with btc pair up and if btc down, altcoin also down, it is a new experience for altcoin traders.

StealthCoin1

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it don't work that way

helloge

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I think the main reason is that the bitcoin price has become the flag of the crypto currency market, it represents the investor's faith of the market. So we can see almost all the coins pump and dump to follow the Bitcoin.

SonyEricSon

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Since BTC is the parent of all coins, it is natural that all coins follow the bitcoin movement, sometimes each project sets its coin price with usd, that's what causes it

Ayers

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Quote from: Trac3y on July 25, 2017, 05:55:17 AM

This is something i cant understand. Why do coins seem to follow BTC price. Look at ETH ,Ripple most coins move according to BTC. One would think if the trading pair doing worse a coin would get stronger ,but its not the case. Seems fake

because if they dump bitcoin they want fiat, so why they should buy altcoin? it seems stupid to me, because when i dump bitcoin i want to exit crypto momentarily, and buying altcoin, is only possible with bitcoin, and if i don't have bitcoin because i dumped them i can not buy altcoin

Hamphser

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Quote from: pawanjain on July 25, 2017, 08:33:20 AM

Quote from: TGD on July 25, 2017, 07:06:39 AM

Im confused too why this things happen Grin

, if I remember last year when BTC pump altcoin dumps and when BTC dump altcoin pump , but right now there are moving in the same trend if BTC dump altcoin dump much more Grin

.

This question bothers me too. What i have noticed is when the price of bitcoin goes up , the price of altcoin goes down and when the price of bitcoin goes down the price of altcoin goes up. So i think its invesely proportional to the price of bitcoin. But sometimes the prices go oppposite. So there is no fixed equation to the proportionality of their prices.

This is actually the hardest thing on trading crypto market which you wont really know if they are complete correlated or not since they do really change their trend to each other.They do go opposite, they go the same directions anytime they do move which would really make the things more harder for us who do make trades. Im not really so sure too what are the things that do makes this thing happen.

Trac3y

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Quote from: pawanjain on July 25, 2017, 08:33:20 AM

Quote from: TGD on July 25, 2017, 07:06:39 AM

Im confused too why this things happen Grin

, if I remember last year when BTC pump altcoin dumps and when BTC dump altcoin pump , but right now there are moving in the same trend if BTC dump altcoin dump much more Grin

.

This question bothers me too. What i have noticed is when the price of bitcoin goes up , the price of altcoin goes down and when the price of bitcoin goes down the price of altcoin goes up. So i think its invesely proportional to the price of bitcoin. But sometimes the prices go oppposite. So there is no fixed equation to the proportionality of their prices.

At the moment USD market very predictable if you watch BTC price,just compare graphs. Ive been trading with a formula keeping the relation between two prices the same and its been very accurate so far i cant complain. Grin

jezus

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Many ico and invested.

AlexSavv

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Yeah its the alts reliance on BTC that does it

lakimens

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I think it has to do with the fact that in every exchange, you trade BTC-ALT.

pawanjain

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Quote from: TGD on July 25, 2017, 07:06:39 AM

Im confused too why this things happen Grin

, if I remember last year when BTC pump altcoin dumps and when BTC dump altcoin pump , but right now there are moving in the same trend if BTC dump altcoin dump much more Grin

.

This question bothers me too. What i have noticed is when the price of bitcoin goes up , the price of altcoin goes down and when the price of bitcoin goes down the price of altcoin goes up. So i think its invesely proportional to the price of bitcoin. But sometimes the prices go oppposite. So there is no fixed equation to the proportionality of their prices.

TGD

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Im confused too why this things happen Grin

, if I remember last year when BTC pump altcoin dumps and when BTC dump altcoin pump , but right now there are moving in the same trend if BTC dump altcoin dump much more Grin

.

Topic: Why do Altcoins not gain when BTC lose ground ? (Read 1052 times)