What Fate Do Altcoins Hold in 2020?
Currently, Bitcoin’s price seems to be trading within the $ 7000 range. Further, the performance of altcoins is quite bearish in the previous few weeks. Some of the altcoins are moving towards the support levels attained in November 2018 before reversal.
As for the performance of XRP, its price is under $ 0.2, which is a two-year low. The price was 92% lower than its high in December 2017. Meanwhile, ETH, LTC, and BCH are close to last year’s November levels.
Analysts Views on Altcoins Comeback
Josh Rager, a cryptocurrency analyst, noted via youtube that altcoins now have low volatility and are the same as Bitcoins. He continued that altcoins await Bitcoin’s moves to decide where to go and that the prices may benefit from the fall of Bitcoin’s price to $6k.
BitMEX predicted that Bitcoin’s dominance might decline come next year. If such happens, it means that altcoins’ value would increase. Willy Woo, on the other hand, revealed that at the moment, the ratio of the market cap of atcoins to Bitcoin is at the threshold level. He continued that there may be a fresh 60% decline in the rate if the trend line gets broken.
If such occurs, he maintained that the altcoins would eventually get purged of the 2017 bubble run. He observed that a break below the line would come from the correlation with Bitcoin’s bull trend.
Analyzing the 2017 Upsurge and their Current State
Several altcoins are now visiting price levels attained before the exponential run in December 2017. In 2019, the bullish sentiments remained in place. However, things changed before December, where a vast run occurred. Nevertheless, the dominance of Bitcoin was over 80% before the coins experienced an upsurge in 2017.
Moreover, some ‘Bitcoin Maximalists’ think that Bitcoin’s dominance would surge beyond 80% again as the ‘shitcoins’ keeps dying. At the moment, stablecoins, which are FIAT, get categorized as altcoins. Therefore, their real dominance in the cryptocurrency markets could be lower.