Bitcoin’s All-Time High Sparks Life Into The Alt-Coin Market, Solana Pumps
- Bitcoin (BTC) consolidates after Wednesday’s hefty gains.
- Ethereum (ETH) and Solana (SOL) pressing higher.
Bitcoin printed a fresh all-time high on Wednesday as the crypto market leader continued its recent bull charge. Bitcoin has been outperforming other notable cryptocurrencies, including Ethereum and Solana, of late with traders pointing to the launch this week of the ProShares Bitcoin futures ETF as the dominant driver. With this now out of the way, traders are looking to grab some alpha by revolving back into some of the heavyweight alt-coins, including Ethereum and Solana. Ethereum is still around 4% below its ATH ($4,379), while Solana is currently changing hands around 20% below its September high print ($216). The Solana breakout looks strong with little in the way of resistance on the charts before the September 9 high.
Solana (SOL/USD) Daily Price Chart – October 21, 2021
Chart via TradingView
The alt-coin market capitalization (total market cap minus Bitcoin market cap) is now probing recent highs and looks set to break higher.While Bitcoin continues to dominate the market (46.6% dominance) the expected ‘alt-coin season’ may be nearing with alts seen outperforming Bitcoin at least in the short-term. This does not stop Bitcoin from moving higher, it just suggests that alt-coins will outperform BTC as traders look for extra alpha.
Cryptomarket Capitalization Minus Bitcoin – October 21, 2021
Bitcoin is now consolidating its recent gains around $66k after touching $67k on Wednesday. We have been positive on Bitcoin - and the crypto market as a whole - for some time now and see no reason to change course. Volatility is likely to pick up as BTC enters a zone of price discovery with any downturns likely to be seen as an opportunity to buy cheaper coins. The overall sentiment in the cryptocurrency market is heavily positive, which could add extra volatility on any downturn, and with little in the way of technical resistance levels, the market looks set to float higher.
Bitcoin (BTC/USD) Daily Price Chart – October 21, 2021
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