Bitcoin has had a tumultuous 2019, falling from the highs it held at the start of the year to currently trade near the $8200 range. Some analysts are however predicting that the world’s largest cryptocurrency will close the year on a high with famous traders like Galaxy tweeting:
“$BTC dominance road to 75-80% by EOY.
Hide yo kids hide yo wife hide yo alts.”
Some BTC users were not convinced of the cryptocurrency’s rise as evidenced by BlockhainJames’s tweet, which read:
“Meh, maybe BTC gets to 80% dominance, but it’s only going to stay for a short while. Pretty hard to convince me that ‘first mover advantage’ when 0 tech is being developed should hold a 80%+ market share.”
Technical analysis of Bitcoin shows that the Bollinger bands have started moving parallelly after a massive bearish outbreak. The magnitude of the epidemic was confirmed by the size of the Bollinger cloud, which had expanded massively.
The Relative Strength Index was on an upward spike while staying near the oversold zone. This meant that the cryptocurrency was recovering from its users selling it, resulting in a switch in the capital.
This is the first time that Bitcoin’s dominance had exceeded the 70 percent mark since March 2017. At that point, Bitcoin was worth only $1000, a figure far lower than today’s numbers. According to some analysts, reading into Bitcoin’s dominance was a futile exercise. Famous analyst Alistair Milne had stated earlier:
“Please Stop Doing Technical Analysis On The Bitcoin Dominance Chart
… new coins & tokens are being added all the time and the metric is close to meaningless.”
Some naysayers of the metric have claimed that the reason why BTC dominance is “completely worthless” is because the data included is from the Bitcoin “market cap,” the total amount of gold mined and the broad fiat money supply.
At the time of writing, Bitcoin was trading for $8261.14, with a total market cap of $148.75 billion. The world’s largest cryptocurrency held a 24-hour market volume of $16.58 billion after a 0.43 percent rise in the 1-hour time frame.
Disclaimer: The presented information is subjected to market conditions and may include the very own opinion of the author. Please do your ‘very own’ market research before making any investment in cryptocurrencies. Neither the writer nor the publication (TronWeekly.com) holds any responsibility for your financial loss.