Despite Today’s Surge, Bitcoin May Be in For Some Sideways Trading; Will Altcoins Start Running?
Bitcoin investors who grew fearful after yesterday’s 20%+ drop were pleasantly surprised today after BTC continued its upwards momentum and climbed back into the $12,000 region. This surge signals that the crypto’s bulls are not yet ready to surrender their control.
Despite this, analysts are still weary of today’s surge, and are now noting that Bitcoin may be in for an extended period of sideways trading. But will this potential bout of sideways trading give altcoins a chance to run? One analyst believes so.
Bitcoin Surges Past $12,000 As Bulls Come Out Swinging
At the time of writing, Bitcoin is trading up nearly 9% at its current price of $12,350, which is significantly higher than its 24-hour lows of $10,900 that were set yesterday.
BTC has incurred notable volatility over the past few days, quickly surging to highs of $13,800 before incurring a significant amount of selling pressure that sent it reeling back down into the $10,000 region, which led many investors and analysts alike to question whether or not the recent surge was simply a bull trap.
Despite this, today’s upwards momentum seems to signal that the recent upwards surge does actually have enough backing to potentially lead to a long-term trend that will persist for the near future.
Don Alt, a popular cryptocurrency analyst on Twitter, is still expressing caution when it comes to today’s Bitcoin price surge, and noted in a recent tweet that he is opening a short position on the cryptocurrency in case it is unable to break through resistance that exists around its current price levels.
“$BTC Shorted the corn, tiny size, still waiting for the monthly close with any big trades. Low conviction because it’s trading against the high timeframe trend. Will roll this one into a big one once (IF) I get confirmation,” he noted while referencing the below chart.
Will Altcoins Begin Running If BTC Begins Consolidating?
Although Bitcoin investors have been quite pleased by its recent price action, altcoin investors have been largely disappointed by the lackluster price action that the aggregated crypto markets have incurred as of late.
In spite of this, analysts are now noting that altcoins may begin running if BTC enters a period of consolidation, which is appearing to be an increasingly likely possibility.
Mitoshi Kaku, another popular crypto analyst on Twitter, spoke about this possibility, saying:
“$BTC Strategy & Ideas – As you can see the price stablished it’s range already, all we need to do know is be patient and trade the waves (Either distribution or accumulation). Since dominance will top in no time, I’d say a good alt season is around the corner.”
Although right now the market’s massive volatility makes it difficult to predict which direction the markets will held next, it is clear that Bitcoin is still in a firm uptrend and that its bulls are in full control, which likely means that further gains are imminent in the near to mid-term.