The altcoin market looks like it might be ready for a significant rally in April. If you have been playing your cards right and taking some risks, the first quarter of the year must have been amazing and also life-changing for you financially. The rally trend is expected to continue for the rest of the year, so it is not too late for you if the crypto market has not changed your life yet. April will be an excellent month for us if specific actions play out in our favor.
Ethereum has been up by 33% since the 25th of March when we were at the bottom of that significant dip. Ethereum tends to be an essential indicator of the health of the entire altcoin market.
On the other hand, Bitcoin is only up by 16% since the 25th of March, which means that Ethereum is currently outpacing Bitcoin at the rate of two to one.
In the chart above, AltcoinSherpa on Twitter highlighted the relationship between Ethereum and Bitcoin. Back in 2018, 2019, 2020, and 2021, Ethereum had a major rally in the year versus Bitcoin after it had a major correction. The correction was followed by another significant rally which is represented by the yellow boxes on the chart. After the rally, there was a cool-off period for Ethereum, followed by Bitcoin catching up and stealing the show.
The past does not determine the future, but it rhymes in some cases. It is from these past occurrences that we study and can decide what will occur. If the past does rhyme this time, we could be ready to see a major altcoin cycle, with Ethereum seeing massive gains versus Bitcoin. If all this hopes to be accurate, Bitcoin will come and see the show sometime in May or June. That phase of Bitcoin versus Ethereum seems to have already begun.
Bitcoin dominance looks like it is falling very hard; the chart above represents Bitcoin as a total share of the entire cryptocurrency market. It fell in the past week, and altcoins saw massive gains across the board, and it is currently in a very critical zone.
The purple zone on the chart represents a crucial area of support for Bitcoin dominance. The bottom of the box is where we found out that Bitcoin dominance has found support several times. If the support breaks and the dominance falls under the purple box, it will be of massive advantage to altcoin; altcoins will skyrocket.
If the purple box does not hold as the support, then the next major support zone will be 52%. If Bitcoin dominance falls that far then Ethereum will be going to three thousand dollars, most of the large capital cryptocurrencies will do a 2x to gain 5x, most of the mid-cap cryptocurrencies will do 10x to gain 20x and all the small caps will do 50 to 100x gains.
This is an important indicator two be watching over the coming weeks because Bitcoin dominance is a solid indicator.
