Bitcoin Dominance has reversed what's next?
For around 1 year I followed the RSI and MACD divergence with expectation of a reversal. Last week was the first weekly close at a higher high. As you can see on the daily chart I labeled we have a bottom, a high, a low and a higher high. Betting against this now would mean betting against the trend with no indication of a reversal. To be clear indicators I marked don't indicator a reversal but a highly likely pull back. Meaning putting in a higher low is more likely then this labeled higher high not being the second high. I don't day trade and as such the small pull back has very little meaning to me. Looking to capture the greater trend. With some alts down 70-100% Bitcoin it's likely some capital flows from Bitcoin into alt coins.
Generally that capital will be from strong believers in young projects applying more risk to their portfolio. I expect most new capital to go to Bitcoin and more small project to fail. In my previous posts I talk about narrative. Alts generally rally when Bitcoin becomes "to expensive". As alts rally Bitcoin becomes "old and useless". Then alts break and everything crashes. Bitcoin fairs better attracts more capital at "cheap" prices. Bitcoin gets expensive and starts that cycle again.
Generally that capital will be from strong believers in young projects applying more risk to their portfolio. I expect most new capital to go to Bitcoin and more small project to fail. In my previous posts I talk about narrative. Alts generally rally when Bitcoin becomes "to expensive". As alts rally Bitcoin becomes "old and useless". Then alts break and everything crashes. Bitcoin fairs better attracts more capital at "cheap" prices. Bitcoin gets expensive and starts that cycle again.
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