This suggests that the top-ranked cryptocurrency on CoinMarketCap has been finding acceptance among various groups of traditional investors during different stages of the current coronavirus pandemic induced economic crisis.
Crypto market data daily view. Source: Coin360
Bitcoin’s volatility has dropped in the past few days but select altcoins have been rallying sharply, prompting analysts to predict that a new altcoin season has arrived.
If Bitcoin shakes out from its slumber and rallies higher, it is likely to be a positive sign and several altcoins may continue to outperform BTC. However, if the volatility expands to the downside, it could result in profit booking in several altcoins. Therefore, traders should keep a close watch on Bitcoin’s price.
Bitcoin’s (BTC) volatility has dropped sharply as it has been trading inside the $8,900–$9,500 range since June 25. This volatility squeeze is likely to end soon with a sharp breakout in either direction.
BTC/USD daily chart. Source: TradingView