Bitcoin‘s recent difficulty in surpassing the $109,000 mark has led to volatility and significant declines within the altcoin market. Since the U.S. elections, the crypto community has observed little momentum in altcoins. Compounding factors such as global trade disputes and fears of nuclear conflict have perpetuated a challenging market atmosphere over the last 6-7 months.
Could Altcoin Momentum Shift Soon?
Interest rates are anticipated to decrease in September, and potential resolutions to tariff issues may occur by mid-month. From July 4-9, discussions about tariffs are underway, and President Trump might prepare a new ultimatum to the EU just before Independence Day. Amid this backdrop, the altcoin market stands at a pivotal moment, as investors expect a profound change, drawing parallels to the bottoming out observed during the downturn.
Rover, by revealing the Bitcoin dominance chart, stated that significant rises in altcoins are on the horizon. He forecasts a notable drop in Bitcoin’s dominance, advising potential gains for altcoin traders soon.
Are Some Cryptocurrencies More Attractive?
The Relative Strength Index (RSI) is instrumental in assessing interest in altcoins. Noteworthy altcoins attracting liquidity feature increasing RSI levels, whereas those facing heavy selling pressures are hitting new lows with dropping RSI valuations.
DaanCrypto highlighted potential altcoins and the broader market context through an RSI map. He noted an increase in the average weekly RSI levels of coins following last week’s recovery.
The typical RSI, hovering near 40, remains relatively neutral or low for numerous altcoins, especially those with mid-to-low market caps. In contrast, Bitcoin is within the 60-70 range, reflecting a stable state with no overbought signals but indicating a modest weekly upward trend.
Altcoins have yet to consistently outperform BTC over extended periods. Nonetheless, various instances within the financial charts illustrate exceptions to this trend.
- Cryptocurrencies such as TRUMP, ACK, and RED face considerable selling pressure and dwindling interest.
- Conversely, there’s burgeoning interest in groups like SIREN, QNT, and XMR.
Some altcoins remain in a nascent stage, unable to consistently outperform Bitcoin over weeks. A handful of exceptions, as observed in charts, reveal ongoing interest and notable performance shifts. As the market evolves, discerning investors are keenly watching these dynamics unfold.
