There has been a continuous decline in Bitcoin’s price and trading volume since its ATH last week. However, other altcoins are rising as Bitcoin is at a point of consolidation.
Coins such as Shiba Inu, Matic, Ethereum, and Solana rose by significant percentages within the past week. Therefore, could Bitcoin break out and rise with altcoins next week?
Bullish Bitcoin HODLers
Many people are still bullish on Bitcoin. Even crypto analysts made a $98k price prediction during its final quarter, which is this month. However, crypto traders are riding the bullish waves of other altcoins for the time being as they hold onto Bitcoin.
As a result, many cryptocurrency analysts speculate that Bitcoin will rise this coming week, as of 8 November 2021. The coin sits at a point of consolidation with a resistance level of $64,000.
Trading charts show that consolidation is usually good for a cryptocurrency as it signifies a bullish sign. Analyzing the price prediction charts indicates that Bitcoin is bound to break the point of joining this week.
Slight Drop, a Sign of a Bullish Market.
Prices of other top altcoins in the market are:
- Ethereum: $4,424.72, -1.8% drop.
- Binance Coin: $612.37,-1.2% drop.
- Solana: $244.81, -1.2% drop.
A slight drop in these altcoins shows a cash-out before another pump. The cryptocurrency market is simply getting ready for a bullish trend.
Bitcoins Breakout and Stocks Correlation
Traders have been monitoring Bitcoin against stock prices to determine its break-out point. Comparisons against S &P, Gold, and the 10-year Treasury yield have had little gains of about 1% within the past 24 hours.
The stocks help analysts assess the third quarter (Q3) and make price predictions (Q4). Traders achieve this by monitoring the Coinbase NASDAQ: COIN currency pairs. The results show that other altcoin shares are up by 40% within the past month, unlike BTC, only 35%.
Correlating Bitcoin with stock markets shows the risk appetite. An increase in the charts shows an increase in the risk for appetite, and a decline shows the reverse is true.
A rise in the correlation chart shows that the demand for Bitcoin is increasing, and there is a decline in stocks and treasury bonds. It shows that people see Bitcoin as a potential investment rather than old stocks and bonds.
Positive Funding Rates
The funding rate is the cost of holding long positions in the perpetual futures market. Bitcoin’s funding rate remained positive during the past week, hence a positive sign. Arcane Research states that positive funding rates show high demand in the market, especially for bluechip cryptocurrency coins.
Despite the volatility of the crypto market, demand for long exposure remains high. The low long liquidation volumes indicate that traders are more careful and avoid leverage in most cases. The bearish market in April made many drop the use of leverages.
Bullish Season for Bitcoin
Get ready for next week. Cash-out, convert all your coins to Bitcoin, sit back, and let’s wait for the $98k because Bitcoin Could Break Out and Rise With Altcoins Next Week!