Strong Rally by Altcoins Helps Bitcoin to Go Over $9,400 for 1st Time in 2 Weeks

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On Wednesday (July 8), another strong performance by altcoins, led surprisingly by Dogecoin (DOGE), helped Bitcoin’s price to go above the $9,400 level for the first time since June 24.

Here is the one-month BTC-USD price chart from CryptoCompare:

As you can see in the chart above, Bitcoin had been spending most of the previous one-week period in the range $9,100 – $9,300, and at the start of today (00:00 UTC on July 8), Bitcoin was trading around $9,257.

Although several altcoins—especially tokens belonging to decentralized finance (DeFi) projects such as Aave (LEND) and Synthetix (SNX)—have done very well this year, Bitcoin’s year-to-date (YTD) return on investment (ROI) against USD is +31.24%, which is decent given that the COVID-19 pandemic is still with us and that during the same period the S&P 500’s ROI is -1.88%, but not amazing in the world of cryptoassets when you consider that some altcoins have enjoyed triple digit percentage gains (vs USD) so far in 2020.

Thankfully for Bitcoin HODLers, today was a special day because it was probably the best day for altcoins that we have seen this year, and surprisngly (and disappointingly as far as Bitcoin maximalists are concerned) the strong rally that altcoins enjoyed today was led by none other than Dogecoin (DOGE), which was introduced as a “joke” cryptocurrency in December 2013 even though on 2 April 2019 Tesla and SpaceX CEO called it “pretty cool” and possibly his “fav cryptocurrency” in one of his tweets.

When you look at the top 30 cryptoassets by market cap and see that every one of them is in the green, you know that that crypto investors and traders are feeling bullish. 


Then, when you take a closer look, and see the kind of gains we saw today—such as XRP up 11.67%, VeChain (VET) up 21.2%, and Dogecoin (DOGE) up 49.76%—it makes sense that many observers in the crypto space believe that alt season is definitely here.

And although it has traditionally been a rally by flagship cryptoasset Bitcoin that has helped the prices of altcoins to go up, this time, it appears to some members of the crypto community that this time things might be different, and that altcoins’s strong recent performance could help Bitcoin to get out of the slump it has been in since June 1 (when its intraday high was $10,221) during the coming days so that it can once again rise above the $10,000 level.

As can be seen in the 24-hour BTC-USD chart below, at 13:50 UTC (on July 8), Bitcoin managed to surge above the $9,400 level for the first time in two weeks: 

 

24 Hour CC Chart for BTC-USD on 8 July 2020.png

 

Featured Image by “WorldSpectrum” via Pixabay.com

Credit: Source link

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