Altcoins...those alternative cryptocurrencies.
They were pumping while Bitcoin was struggling!
Does this signal we are about to enter another altseason!?
Or is it the whale bag holder of alts, pulling off a PUMP before the big market dump??
Well I’m gonna answer that question and more, give me ten minutes of your time...because
it’s time for Chico Crypto!
First let’s talk about BTC...it couldn’t decide what it wanted to do.
Over the weekend and into Monday, up down and all around.
Above 47k...below it, above it again...back down to 46k...back over 47k...and then back
down to near 46 once again as of Monday.
Well while BTC was doing it’s sideways crab dance, altcoins weren’t going to wait around.
They started to surge!!
Yup Altcoins were going crazy yesterday, with Solona leading the pack, up over 40 percent
24 hours.
But it wasn’t only Solana….neary 75 percent of the altcoins on page 1, 73 altcoins, were
performing better than BTC over the past 24 hours.
Only 27 coins were performing worse, in the RED…and at the bottom in the top 100 was
ethereum classic.
So Altseason!?
Well yes actually we are having a mini altseason.
Checking out the Bitcoin Dominance chart, the past week has seen Bitcoin lose dominance
each day, closing in the RED.
From 47.24 percent dominance August 10th, to 44.15 percent by yesterday August 16th.
And since July 30th it’s just as bullish for altcoins.
Out of the 18 days, 15 of them have been RED for bitcoin dominance, and it has fallen from
49.19 to 44.15.
That’s a loss of over 5 percent in just 18 days.
Now some people might think, 5 percent isn’t that much...but remember this is in terms
of BITCOIN which has a market cap of nearly 870 billion dollars!
5 percent of 870 billion, is 43.5 billion….that is plausibly flowing into the altcoins!
And if you are the technical type of person, Crypto Dream on twitter posted this chart...and
it shows the dominance fall since late july has pushed bitcoin out of an ascending support
pattern, which could send bitcoin back down to dominance lows for the year, or even further
down….like their chart says...35 percent dominance!?
Does this mean Altseason 2021 Part Deux is on the menu boys?
Well Ash we do only want one thing, and one thing only...I know it’s disgusting, but
altseason can make you filthy rich!
Although, we here at Chico Crypto try to look at both sides of the coin whenever possible!
And a trader J on twitter posted this chart, showing how the total crypto market cap, of
all coins today compares with the chart after the 2017 chart.
As we can see, there was a “return to normal” where it seemed the markets were going to
rebound around May of 2018.
And then they show the chart today, after the Crash in May...here in August we seem
to be returning to normal, and the charts look very similar….
Now what do you think happened to Altcoins during this time back in May of 2018.
There was another altseason...As we can see from early April 2018 to the Middle of May...Bitcoin
in the orange, dropped from over 45 percent dominance down to around 35 percent.
Hmmm that same number Crypto Dream had in their chart...where they expected BTC to drop!
And other Altcoins, in the grey, all coins combined out of the top 10,...they decided
to surge like MAD!
From 29 percent, to over 37 percent, actually flipping BTC for a smidgen in time…
Pulling up Trader J’s 2018 chart next to the dominance chart expanded out...we can
see the markets crashed after this Altseason in May….and BTC dominance started to grow
once again, while ALTCOINs got crushed!
Bagholding Alts after May 2018 was a seriously bad idea….bag holding anything after that
was a seriously bad idea, but if you were to HODL anything, BTC was the best bet…
Sooo, is this just another ALTCOIN last hoorah!?
A return to normal so whale Altcoin bagholders can exit their heavy positions, just like
what happened in May of 2018???
I hope not, and I don’t think so….I believe that type of market will come sometime in
2022.
Because things are not like back then.
We just gotta take a look at the top 3 altcoins who were around back then, and who are still
around today, and compare the charts.
That would be Ethereum, Cardano as much as I hate it, and XRP as much as I dislike that
one…
Beginning with Ethereum!
In the May 2018 Altseason, Ethereum rebounded back and got to about $807 dollars from its
high of around 1450.
That is a decrease from the high of 44 percent.
Today, things are much different.
Ethereum’s high in May was about 4482 dollars, and it has rebounded to at it’s high to
about 3310.
That is a decrease of only just over 20 percent!
How about XRP?
2017 It reached a high of about 3.40 cents, during the mid 2018 altseason it reached back
to 94 cents...this was a decrease from the high 72 cents!
What’s going on with XRP here recently.
It got to a high of $1.84 cents and with this recent altcoin rebound….xrp has bounced
back to 1.28 cents...a decrease from the high of only 30 percent!
What about Cardano!?
In 2017, it got to a high of $1.18 cents.
Crash and burn but by May of 2018 it rebounded to 37 cents.
This was a decrease from the high of about 68 percent.
So what happened today?
Well Cardano is just cents away from reaching its May peak...literally almost there…
This did not happen in Mid 2018...we didn’t have altcoins reaching back or near to their
blow off tops.
But this time we do.
So I would not compare those whatsoever.
I would compare it the the mid 2017 correction which came around the same time of the year.
Pulling out the Ethereum chart of it’s mid cycle correction and the price chart today….why
so freaking similar??
And if it follows the same exact path, could Ether reach it’s old all time high soon??
End of august, early september like in 2017?
So now that we understand why I think another alt season is on it’s way….lets talk about
onoe of my favorite coins for the coming altseason!!
One that is not in the green, but in the RED!
Now, some people are freaking out about alchemist coin, it’s been having a rough downward
trend when the Alt markets are hot!
Well people track my wallets and they saw I sold some.
Which got people to freak out I think, like I’m exiting my position.
Nooo, I just needed to pay for some things out in the real world..taking some profits
is OK and repositioning some of my portfolio is OK!
I am still extremely bullish on Alchemist coin, or I wouldn’t still be hodling what
I am.
I also needed some ethereum to put enough of my mist position into the crucible reward
program!
You need Uniswap LP tokens, half ethereum…..So I am hodling and crucibling... because they
are building things that others in space can’t keep up with!
So the #1 Reason….is MEV.
They are building solutions to combat the biggest problem in the Ethereum ecosystem
space, and beyond.
It’s going to affect other chains too as they get more traction and become “decentralized”...
Their MEV protected exchange, MISTX tweeted “We're currently the front-runner DEX (pun
intended) in protecting users against #MEV.
Stay safe and trade on mistX!
And they show their dominance, against other MEV protection tools and exchanges.
Over 54 percent of total flashswaps are running through MISTX
But there is something even bigger for that alchemist, misty mist.
There is a plan...even if there isn’t one…and it ties right into….what is hot in the markets!
Dem dan jpegs or NFTs!!
Just a few weeks ago, thegostep, Stephane...founder of the alchemy tweeted about the DANG high
gas fees from NFTs asking who done it?
Below he said “dammit, we need an nft drop platform that routes txs through flashbots
asap so we can keep this off the tx pool” as it was Ashoon Kusheer’s stoner cats which
was causing it!
Well, just after this...Mist core dev, Dire0x, retweeted the go step and tweeted himself..Flashbots
SDK, software developer kit, by MISTX with BIG eyes….
Well that SDK...is coming, and the NFT drop platform is too.
Cybertooth Cat, an NFT artist tweeted just a couple days ago...Revealing just that.
He said “My NFT drop with the Alchemist community is happening on the copper platform
the first week of September.
Minted on ETH.
All 1/1.
But no insane gas spikes.
Gunna be 🔥 #bookofalchemy #nftdrop
Copper is now not only a fair launch platform for new project tokens….still waiting on
POKT network.
That one is gonna be fire too...but it’s also integrating now with Flashbots, to create
fair launch NFT drops, who don’t have insane gas spikes!
This is game changing for NFTs on Ethereum & it's coming in early September & it’s
only the beginning….When there isn’t a plan...sometimes that’s the best plan of
all.
Cheers I’ll see you next time!