Altcoins Get A Beatdown While Bitcoin Remains Stable Just Under $11,000
The crypto king, bitcoin, is holding strong around $10,900 after it started uptrending over the weekend.
From $10,200 on Sunday, the digital asset has been making its move up, climbing to $10,950 today. At the current price of just above $10,900, 83.68% of the addresses holding BTC, which are 26.38 million, are in profits.
Trader SalsaTekila noted that “yesterday night gold pumped from this exact hour, BTC then followed.”
The precious metal jumped to $1,970 level, keeping to its range, which is getting smaller, formed after hitting the new all-time high at $2,070 in early August. Meanwhile, the USD index is struggling around the 93 level.
“At a certain point when Bitcoin gets big enough (I'd say above $1T), it will shed its risk-on factor, then its fundamental gold-like properties moves front and center,” noted on-chain analyst Willy Woo on bitcoin’s short-term correlation with the equity market.
And then, “even our 4-year cycles will get locked into the gravitational pull of the ~10 year cycles that macro markets exhibit,” he said.
For now, besides the altcoins and DeFi’s losses supporting flow into bitcoin, MicroStrategy's acquisition of 16,796 additional bitcoins helped the digital asset maintain its resilience.
uhhhhh this is ridiculously bullish lol
Other companies are watching this take place and its not a matter of if, but when the 2nd company pulls the trigger
Will have a cascading domino effect https://t.co/C5jnaYq0zI
— moon is tweeting (@MoonOverlord) September 15, 2020
Altcoins’ Experience a Hangover after the Bull Party
Trading in the green with $1.8 billion in ‘real’ volume, the dominance of BTC has also taken to trend up. BTC dominance has been on a constant decline since early May when it was at 69% to the 15-month low of 59% on Sept. 13. But the weakness in alts has bitcoin’s dominance riding up over 61%.
While Bitcoin is looking stronger, the altcoin party has died down.
In the DeFi world, the top loser is CREAM, which fell by 40%. Interestingly, today Binance announced trading for the DeFi token against BNB and BUSD.
Other notable mentions include bZx Network (28%), SUSHI (-21%), CRV (-20%), SWRV (-15%), SNX (-14%), LEND (-12%), YFI (-11%), and UMA (-10%).
Unlike the price of these DeFi tokens, the total value locked in the sector increased to $8.9 billion, as per DeFi Pulse.
Users continue to deposit in these new projects, especially in Swerve, whose TVL has jumped to $953.8 million, and KIMCHI, whose deposits are currently at $1.8 million. Other projects that see an increase in their TVL today are Mooniswap, YFII, ForTube, DODO, CREAM, Yearn, and Maker.
Some of the cryptocurrencies are still moving north in the current red environment, including Pickle (50%) and LUNA (7%).