Jump to content

Bitcoin - Altcoin in tandem


Recommended Posts

  • Replies 6
  • Created
  • Last Reply

Top Posters In This Topic

Popular Days

5 minutes ago, jag216 said:

Can I add a twist to this question?

The SEC provided bullish signals - Bitcoin and Ethereum are not securities.

Why haven't they mooned?!

The debate around securities wasn’t what tanked the market. After the announcement they got a minor bump but the overall suppression is being driven by different interests.

Link to comment
Share on other sites

They're coupled because most of the investment into cryptocurrency right now is not specific to the coin. The big bets that are being made ask the question: "Is cryptocurrency going to be bigger, or will it shrink to nothing?" Institutional money that will do the real analysis is not in the system yet.

Most investors are retail folks who only root for a coin because that's the one they own, not because the coin has inherent value. So you get investment that's relatively in proportion to the coin's popularity. Therefore not much changes.

The argument that BTC is the base currency on exchanges is a nice idea, but if I want to invest in XVG... then I buy bitcoin, sell it for XVG, and I've successfully placed my bet. This doesn't explain the correlation at all. If it did, then USD and BTC would be correlated too.

 

 

Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now

×
×
  • Create New...