In the last months, we have seen a drastic rise in the Bitcoin dominance. This has been coupled with a lot of FUD surrounding ALT coins. Many have been stating that there will be no ALT season, some speculate that ALTs all-together will die.
My personal sentiment is that in the grand scheme of things, ALTs cannot “die” as a whole. Perhaps many projects that are currently on the market may fade into obscurity, but I believe that this market will prove to be much more then many people in this space see it as now. As a futurist, this market has the potential to become the next generation of open market. Failing that it will likely extend the traditional market.
As I ave stated before in previous posts, in the last bull run, entire business models have been created on chain. Not every project is its own chain. We have health, insurance, investing, finance social media platforms and more, existing on public blockchains. We must remember the reason we are here. Besides making money on new and exciting technology.
Blockchain is something that can give us our privacy and sovereignty back in a growing technological world that (so far) has proven to be untrustworthy and centralized. None of us own our data. Our personal lives and information is being sold by companies such as Facebook and Google to entities that we should otherwise not want to have access to our personal lives. A future where we have no right to privacy would be dismal and dystopian. This is what we are here to prevent. Giving the private keys back to the user to protect their data. As much as this is about tokenization, it truly is about decentralization.
For the short term however. We may see an increase in Bitcoin dominance. As the market is very fearful and there is no new money coming into the space. Institutional investors who want to come in, still have no legal framework to do so and retail investors are likely to still be squeamish to the idea of investing in projects at early stages when the BTC Dominance is so high and the money is not flowing into the market yet.
The ascending triangle int he BTC.D chart shows us an ascending triangle. It is looking like a dip is in order but we may bounce off the bottom of the triangle and break out to the upside. Be prepared for the possibility of further capitulation of ALT coins and the rise of BTC.
We are in shaky grounds at the moment as we are still under $300 Billion USD in total cryptocap, investing in ALTs is still a very risky game at this point. however, this will change, we just need to see the total cryptocap begin to rise again and new money coming into the space.
As for the ALT coin market, long term I believe we will see a rebirth of the ALT market once money begins to flow back into the market. I have my sights set at around 20K BTC for the spark to reignite the ALT market again. However, this may happen at lower levels. Possibly as low as $14,000 USD.
Tags: Bitcoin Dominance, BTC.D
This post was written by BlockAdvisor