On Monday, the first cryptocurrency rose by 4%, its rate exceeded $ 57.7 thousand. At the same time, other coins lag behind in profitability. Experts explained the reason for the increase in the share of bitcoin in the market and predicted the early start of the altseason
On October 11, the bitcoin exchange rate on the Binance crypto exchange updated the maximum since mid-May at around $ 57.7 thousand. Over the past day, the first cryptocurrency has risen in price by 4%. It has continued to grow since September 29, when a local minimum of $40.7 thousand was set. Since then, the value of the asset has risen by almost 40%.
The rise in the price of bitcoin is accompanied by an increase in its market share. For example, if in mid-September it was about 40%, then by now it has reached 45.9%, according to Coinmarketcap. At the same time, the share of Ethereum decreased from 20% to 18%.
Over the past week, bitcoin has surpassed the largest altcoins by capitalization in terms of profitability. The first cryptocurrency rose by 19%, while Ethereum – by 5%, the price of Cardano has not changed, Binance Coin has fallen by 2%, XRP has risen by 10%, and Solana has fallen by 14%.
During the period of active growth of bitcoin, altcoins always show weaker dynamics, since the attention of major players is focused on BTC, explained Andrey Podolyan, CEO of the Cryptorg platform. According to him, for altcoins, the ideal moment for growth is a flat or a slow decline.
“If bitcoin flattens or grows smoothly in the coming weeks, then this may have a positive effect on altcoins,” Podolyan warned.
The determining factor for the growth of altcoins will be the increase in the price of bitcoin and the general news background in the market, added Maria Stankevich, director of development of the EXMO crypto exchange. The fact that the price of bitcoin is approaching a historical maximum indicates the potential for growth and the beginning of the altcoin season, the expert is sure.
According to Stankevich, despite the dominance of bitcoin, a number of altcoins as a percentage of their current value will demonstrate much greater growth dynamics than bitcoin. Regarding the reasons for the rise in the price of cryptocurrencies, the expert called the hearings of the US Congress, at which President Joe Biden’s $1 trillion infrastructure plan was rejected.
Bitcoin is growing in price on reduced trading volumes, said Vladimir Smetanin, CEO of the Swiss financial company Newcent. He explained that such a movement is called divergence and often occurs before correction and testing of lower levels.
The possible correction of the market was also announced by the Director of Development of TradingView in Russia, Vitaly Kirpichev. According to him, the current lag of altcoins in dynamics from the main cryptocurrency may be due to the fact that they are “waiting” for a denouement.
“If we see an update of historical highs for bitcoin, other cryptocurrencies can make significant upward jumps after it. With a different development of events, the chances of another altcoin season are small,” Kirpichev warned.
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