Bitcoin (BTC / USD) Domain Tap Support. Good time for Alcoins?

Bitcoin domain touches support I will analyze possibilities

If Bitcoin's domain falls it means you are investing in Alcoins.

Let's see

As we saw in the last few weeks, the price of Bitcoin has entered a descending channel, but at the same time we are seeing that the Bitcoin domain that leaves the bullish channel

Weekly analysis

Bitcoin's domain has been moving for months within an ascending side channel that broke a few weeks ago.

Bitcoin's dominance in recent weeks is below 68 points, which is good for Alcoins.

Looking at the weekly chart, we see that Dominance has broken the 50-MA line and the 200-period MA line
In the last week it has bounced off the support line at the bottom and on the 200-period MA midline at the top

Daily analysis

Bitcoin's dominance has retreated, it is no longer lateral and this week it has broken the supports of 64% and reaches 62% and rebounds

A week ago we identified a possible elliot wave correction ABC formation that has already been accomplished. Wave C has reached 62%

This has allowed that in the last week, we saw how some alcoins have recovered value.

Why is it important for the domain to go down?

Because reducing Bitcoin's dominance would indicate that cryptocurrency prices with good projects and good volume could continue to recover value

The variation in the past few days means that investors have sold Bitcoin, the volume has decreased.
Investors are withdrawing the profits from Bitcoin, but they have invested it in Alcoins, that's why we see a drop in the volume of the domain and an increase in the prices in the Alcoins.

Bitcoin's domain has reached 62% but has rebounded, in the next week we could see a consolidation of the domain in those values ​​that could form a double floor.

Key points

• Cut in half. Bitcoin's halving has already occurred, according to the story, weeks after the price has started a bullish recovery. In the long term, there have been increases in the price of Bitcoin sometimes accompanied by Alcoins and other times not.

• RSI 1D shows levels lower than the average level on the daily chart. Figure 1D shows oversold levels

• The volume of the Bitcoin domain has decreased in recent weeks, but more in recent days.

• Domination has lost the ascending channel and could consolidate the formation of a double floor next week.

• The price of Bitcoin has been lateral for weeks allowing the recovery of the price of some alcoins. The more lateral it stays, the more abrupt the price movement will be.

We have several possibilities to explore the price of Bitcoin and how dominance would affect alcohols.

Minor price fixes or increases in Bitcoin

• If bitcoin's dominance continues to decline due to a slight price correction, after which it lateralizes bitcoin's value, which it has done in the past few weeks, it would be good for alcohols.

The breakout of the bullish channel, weeks ago, has been good for alcohols because the price correction was slight, the domain has regressed, allowing some alcohols to recompose their prices, to continue next week, it would allow them to continue to recompose prices.

• Strong increases, or strong corrections, in the price of Bitcoin

Bitcon's dominance is key, facing a rapid rise in the price of Bitcoin can trigger an increase in dominance and lower the price of alcoins (investors take liquidity from alcoins to increase Bitcoin's price).

You can reduce the price of bitcoin (strong correction) and increase the domain, investors take refuge in Bitcoin by selling their alcoins

• A large bearish price correction for Bitcoin with a large candle could damage the entire crypto market, seeing a general drop in prices. With months of recovery as we have already seen

Conclusion

For now we see corrections or slight increases in the price of bitcoin, we should continue this trend if the intention of large investors is to take positions in the alcoins before a possible cryptocurrency market in the coming years.

There has already been an ABC correction already planned in the previous post. We could see in the coming weeks a consolidation of the correction in these values ​​or a strong upward break in dominance as a result of a sharp rise or fall in the price of Bitcoin.

But the global crisis that erupted a few months ago continues and an uncertain future opens for all markets, including Bitcoin and all alcoins.

What you think?

Remember to give your post a vote, Always support good content. Thanks

Follow me it costs you nothing and you get a Healing Reward with Your Vote

Protect your assets use Stop loss

The alcoins market is very dependent on the price of Bitcoin, when Bitcoins goes up the alcoins go up more, but also in the other sense, so I suggest that you periodically review a Bitcoin and use stop loss and move it when they are already in profit. Do not let a profit become a loss.

We will continue monitoring
To be attentive
Protect your Investments

Feel free to use and share my post or graphics, but please mention, @criptoar as the author. Otherwise, consider plagiarism and I will call you and advise my friends to do the same.

READ DISCLAIMER: this publication / analysis is only for general information purposes. I am not a professional trader and I will never be a financial advisor. The material in this publication does not constitute any trading advice of any kind. This is the way I see the paintings and what my ideas are.
Perform your own analysis before making an investment decision. Use money that you are willing to lose if you make an investment.
If you make exchanges or investments after reading this publication, it is entirely at your own risk. I am not responsible for any of your gains or losses. By reading this publication, you acknowledge and agree that you will never hold me liable for any of your profits or losses.

For your vote or comment, thank you