This idea is quite fascinating, as already many coins on the market trade at all-time high value during this Bull Market. It’s hard to imagine that most of the upside is still ahead of us. Yet, if the picture that this chart depicts unfold to be accurate, Altcoins could have a lot to run in the coming months.
According to Bitcoin’s dominance, the Altcoin market looks still undervalued compared to Bitcoin . Add now that April is historically a positive month for crypto to the equation, and the result may be explosive.
There are at least two elements that could provide solid support to this thesis. Bitcoin rebounded strongly from the recent drops, and it’s now trading just below a key resistance that, if broken, would push it straight into new price discovery . On top of that, some large-cap coins still have plenty of room to catch up with Bitcoin . See Ethereum , Zcash, and Litecoin, among the most notable cases.
If you took some profits recently, that was a reasonable choice that led you to have the liquidity to accumulate those coins that didn’t pump yet. These coins will likely outperform Bitcoin in the short term, allowing you to compound more Bitcoin in the future. As long as Bitcoin’s dominance remains below 60, buying the dip strategies offers the best risk-reward profile. But never forget to manage your risk.
It’s April’s fool week, after all!