Popular Crypto Analyst Claims That if Bitcoin Surges in the Near Future, So Will Most Other Altcoins
Well respected crypto trader and expert Luke Martin — who bytheway has more than 200k followers on Twitter — recently went online to elaborate on the relationship between the price of Bitcoin and other top digital currencies.
In Martin’s estimation, the correlation between ”Bitcoin (BTC) and altcoin/BTC prices” currently lays at an all time high. Not only that, he is also of the belief that as and when the value of Bitcoin rises, most other mid-to-large market cap altcoins will also follow suit.
Getting into the nitty-gritty of things, Martin explained that different market capitalization groups (large cap, mid cap, and small cap) are governed by a wide array of factors that are all relative to Bitcoin’s price movements.
It's not that simple though.
Market cap groups (large vs mid) of alts rise at different times relative to the $BTC move. Evidence below…
— Luke Martin (@VentureCoinist) March 6, 2019
Martin’s recent barrage of tweets contained some interesting information in relation to Bitcoin. For example, he pointed out that the flagship cryptocurrency had finally found its local bottom around $3,200 mark.
Not only that, he also showed that over the course of the past 90 days, the premier cryptocoin had been able to rise above the $4k mark twice.
He then added:
“While I wouldn’t call either of the ~20 day swings a full cycle, it does give very clear insight into how large cap vs mid-cap alts react to Bitcoin rising & dropping.”
Other Key Points From Martin’s Research Worth Bearing in Mind:
- When Bitcoin recently scaled up to a price point of $4,100, large-cap price movements either kept pace or outperformed $BTC.
- Most mid-caps/binance alts were sluggish, lagged $BTC and were down or flat.
- Following Bitcoin’s plummet to below the $4k mark, the industry at large too experienced massive financial losses at exactly the same time.
Lastly, Martin was also quoted as saying that investors should always focus on Bitcoin’s price movements so as to “optimally position themselves ” within this burgeoning industry.
In closing out this piece, it is worth mentioning that Martin believes that his research primarily comes laden with three-key takeaways, namely:
- Large caps move first.
- Large caps finding top at same time $BTC does.
- Generally mid caps are slightly AFTER large caps, then outperform.