Because more miners mining altcoins than mining bitcoins if you got a gpu by many orders of magnitude. Most miners are sellers.
Topic: Why when bitcoins rises the altcoins falls? - page 2. (Read 1858 times)
Learn from history, since it might repeat. 
(re-posted from a recent thread)
"Normal" alt patterns used to be easy to define (at least for the ones with decent volume/value)
The 'old normal':
When BTC/USD went up, alt/usd almost always went up, but alt/BTC often went down (for example, if alt/usd only went up a little/or stable then it is easy to see why alt/btc goes down with a BTC/USD price increase), also when BTC/USD fell many of the alts/btc would rally
The above was (usually) true for most of last year, until the huge Nov/December rally.
Late last year we had an extreme alt bubble and during the crazy trading "near the top" when BTC/USD went up, so would most/many alt/btc (the alt/USD value increases were extreme)
This "reverse" pattern lasted for a while even once the down-trend started, but lately things have settled and the "old normal" has been true fairly often. If the alts do take off again, the % gains are often amazing.
(re-posted from a recent thread)
"Normal" alt patterns used to be easy to define (at least for the ones with decent volume/value)
The 'old normal':
When BTC/USD went up, alt/usd almost always went up, but alt/BTC often went down (for example, if alt/usd only went up a little/or stable then it is easy to see why alt/btc goes down with a BTC/USD price increase), also when BTC/USD fell many of the alts/btc would rally
The above was (usually) true for most of last year, until the huge Nov/December rally.
Late last year we had an extreme alt bubble and during the crazy trading "near the top" when BTC/USD went up, so would most/many alt/btc (the alt/USD value increases were extreme)
This "reverse" pattern lasted for a while even once the down-trend started, but lately things have settled and the "old normal" has been true fairly often. If the alts do take off again, the % gains are often amazing.
I have noticed that in terms of US Dollars both BTC and alt coins have a positive correlation.
It is however important to note that alt coins offer very little additional value from Bitcoin.
All wisdom needed found here. It is however important to note that alt coins offer very little additional value from Bitcoin.
a few reasons, purely based on psychology.
1) when someone gains bitcoin but does not want to sell into dollars because $450 was too low, they go and play the altcoin market to try turning their bitcoin into more, so the buy altcoins and try to day trade them to get more bitcoin. then on the 'shocker' days when they see bitcoin jump near 50% they drop their altcoin trading even at a 1-10% loss, to get back to bitcoin. so they can try selling bitcoin at $650. thinking they have made over 40% profit
2) following on from point one. some people who still have no temptation to sell at even $650, still feel inclined to drop altcoins and just sit on their bitcoins, as if holding the bitcoins means something..
i personally do not sell bitcoins for dollars. i do love to buy cheap altcoins whilst everyone else is scrambling to get back to bitcoins. after all if i can buy an altcoin for under 200sat and in a few days after the pandemonium is over it jumps back to 400.. i have doubled my BTC and the BTC is still valued in the $600 range.. meaning instead of just sitting on BTC, i get to double it.
i have no clue why people sell their altcoin at a small 1%-10% loss to then just sit on the bitcoins and watch the dollar prices spike.. it makes no sense, but people do it.
1) when someone gains bitcoin but does not want to sell into dollars because $450 was too low, they go and play the altcoin market to try turning their bitcoin into more, so the buy altcoins and try to day trade them to get more bitcoin. then on the 'shocker' days when they see bitcoin jump near 50% they drop their altcoin trading even at a 1-10% loss, to get back to bitcoin. so they can try selling bitcoin at $650. thinking they have made over 40% profit
2) following on from point one. some people who still have no temptation to sell at even $650, still feel inclined to drop altcoins and just sit on their bitcoins, as if holding the bitcoins means something..
i personally do not sell bitcoins for dollars. i do love to buy cheap altcoins whilst everyone else is scrambling to get back to bitcoins. after all if i can buy an altcoin for under 200sat and in a few days after the pandemonium is over it jumps back to 400.. i have doubled my BTC and the BTC is still valued in the $600 range.. meaning instead of just sitting on BTC, i get to double it.
i have no clue why people sell their altcoin at a small 1%-10% loss to then just sit on the bitcoins and watch the dollar prices spike.. it makes no sense, but people do it.
I have noticed that in terms of US Dollars both BTC and alt coins have a positive correlation.
It is however important to note that alt coins offer very little additional value from Bitcoin. Most Alt coins have small differences from Bitcoin but they are all generally the same (for the most part). The security of the BTC blockchain is the strongest by far.
It is however important to note that alt coins offer very little additional value from Bitcoin. Most Alt coins have small differences from Bitcoin but they are all generally the same (for the most part). The security of the BTC blockchain is the strongest by far.
Check out this table:
http://coinfinance.com/gainers_losers/30_days
Even LTC and DOGE has deep fallen. It all started when BTC raised back, is it because the altcoins holders moved to BTC and started selling like crazy their alts in order to get some BTC ?
http://coinfinance.com/gainers_losers/30_days
Even LTC and DOGE has deep fallen. It all started when BTC raised back, is it because the altcoins holders moved to BTC and started selling like crazy their alts in order to get some BTC ?
Alt coins have only 10% of the market and are very influenced by fluctuation. My guess is that they see the more stable bitcoin rising, and trade for btc- in order to make profit. Then, they may trade again back for alt coin; I remember LTC was rising from $10 to $40, many people jumped aboard trading for LTC. Then the whole thing plumpets to $10;
As for doges
I do not think big players see them as long term investments.Even in the DOGE where they presume to be a hard coin with a high community support, it has fallen more than 50% in just a few days
For many exchanges in order to buy Alt coins, you need to use Bitcoin (BTC). Why spend your hard earned BTC on coins that don't move much when Bitcoin just continues to go up?
I also use BTC for purchases, so when it's going up I just rather hang on to it than spend it on items. I also have interest in DRK, and I've noticed that seems to stall when BTC is going up because why convert BTC > DRK when Bitcoin keeps going up?
I also use BTC for purchases, so when it's going up I just rather hang on to it than spend it on items. I also have interest in DRK, and I've noticed that seems to stall when BTC is going up because why convert BTC > DRK when Bitcoin keeps going up?
Check out this table:
http://coinfinance.com/gainers_losers/30_days
Even LTC and DOGE has deep fallen. It all started when BTC raised back, is it because the altcoins holders moved to BTC and started selling like crazy their alts in order to get some BTC ?
http://coinfinance.com/gainers_losers/30_days
Even LTC and DOGE has deep fallen. It all started when BTC raised back, is it because the altcoins holders moved to BTC and started selling like crazy their alts in order to get some BTC ?
Alt coins have only 10% of the market and are very influenced by fluctuation. My guess is that they see the more stable bitcoin rising, and trade for btc- in order to make profit. Then, they may trade again back for alt coin; I remember LTC was rising from $10 to $40, many people jumped aboard trading for LTC. Then the whole thing plumpets to $10;
As for doges
I do not think big players see them as long term investments.
Check out this table:
http://coinfinance.com/gainers_losers/30_days
Even LTC and DOGE has deep fallen. It all started when BTC raised back, is it because the altcoins holders moved to BTC and started selling like crazy their alts in order to get some BTC ?
http://coinfinance.com/gainers_losers/30_days
Even LTC and DOGE has deep fallen. It all started when BTC raised back, is it because the altcoins holders moved to BTC and started selling like crazy their alts in order to get some BTC ?
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