The dominance of USDT+USDC stablecoins has reached important support, a downward trend since December 9, 2023. If the trend does not hold it, a sharp impulse may occur from the current 6.09% to the volume level of 5.35%. Is it the general growth of the market, or the growth of only the altcoins lagging behind BTC? The question is.
Here the situation is mirrored in the BTC chart - all reversal signals for growth are ignored, strongly oversold indicators do not work, resistance acts as a powerful wall, support is broken through.
On February 8, we wrote that “as long as the dominance of#USDT+#USDCis below the EMA of the 50-day TF, the growth of the entire crypto market is definitely a priority.” The BTC rate was then around $43,000.
But then, after several downward impulses, the stablecoin dominance chart quickly came to important supports and first we waited for a rebound, and then a reversal. As a result, all these February forecasts for a quick reversal did not work out, and the BTC rate is already $56,000.
Now the nearest important resistances that we are looking at are the EMA of the 50 monthly TF (currently 6.73%) and the downward trend from October 27, 2023 (currently 6.68%). The continued growth of altcoins is clearly in force until these two resistances are broken from the bottom up. Not to mention the EMA of the 50 day TF (currently at 7.08%). This resistance is still very important. But now it is higher than other and more serious resistances.
As long as the dominance is below the volume level of 6.38%, there is no point in even talking about a chance of a reversal. And the maximum target for the bulls is the upward trend support since June 2019. Currently it is around 4.72%. But this, we emphasize, is the maximum goal for the bulls for the spring of 2024. Provided that the#BTCrate does not give a strong correction, and#ETHand other altcoins show continued growth. There are enough intermediate goals/reduction supports along the way.
