Altcoins UpdatešØ: Navigating the Storm
Altcoins have taken a significant hit over the last 24 hours, driven by rising Bitcoin dominanceāsomething Iāll break down in a detailed update soon. For now, letās focus on the numbers and what they mean for your trades.
Bitcoin ($BTC) sliced through the $98K support and has nearly retraced its January rally, now sitting precariously around $93K. When Bitcoinās price drops while its dominance climbs, altcoins often face the falloutāa perfect storm currently reflected in the $OTHERS.D chart, which tracks the market cap of altcoins outside the top 10.
The $OTHERS.D is now testing a critical daily support level after a sharp decline. A break below this level could spell extended consolidation for altcoins, mirroring the stagnant December market. However, this support remains robust, bolstered by its alignment with key monthly levels and overlapping with the 4H Yearly VWAP and 1D Quarterly VWAPāfurther emphasizing its significance.
Whatās next? Holding this level could open the door to a rebound, but a loss might signal more pain for altcoins in the weeks ahead. Stay cautious and plan your entries and exits accordingly. Cheers and Stay Safe!
