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2 March 2024
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Bitcoin Surges to $9,500: Altcoin Season 2020 At Risk?

Bitcoin has pushed onwards to $9,500 and most altcoins have followed with some impressive gains. If Bitcoin continues its upwards trajectory, will the altcoin season be at risk?

Reacting to positive news from the US, Bitcoin continued its decisive move forward, reaching an intraday high of $9,560. On its way up, the primary cryptocurrency took most of the altcoins along for the ride, and they managed to decrease BTC’s dominance to 61.6%.

Bitcoin To $9,500

Following weeks of stagnant price actions, Bitcoin made a move a few days ago and finally broke the $9,300 resistance line. Despite some speculations that the asset can’t sustain its run, BTC has not only managed to stay above that level, but it ascended even further.

BTCUSD 5m. Source: TradingView
BTCUSD 5m. Source: TradingView

The latest price increase could be a direct reaction to the news from the US. A letter issued by the Office of the Comptroller of the Currency (OCC) informed that Federal banks can begin offering cryptocurrency custodial services. The OCC explained that digital asset owners need safe custody of their assets from recognized institutions like banks, and they had decided to oblige.

The technical aspects behind Bitcoin suggest that $9,300 has turned into its first line of defense now, followed by $9,200. Another significant support level lies at the psychological point of $9,000, which also includes the 100-days moving average.

If BTC is to test $10,000 anytime soon, it has to conquer two resistance lines – $9,650 and $9,800.You Might Also Like:

During yesterday’s trading session on Wall Street, the three most prominent US stock market indexes registered minor gains. The S&P 500 is up by 0.57%, the Dow Jones by 0.62%, and Nasdaq by 0.24%.

Altcoins Pump Harder

Although Bitcoin has reclaimed some ground in terms of its price, the altcoins are not to be underestimated. The metric measuring the total market cap of all alternative coins against that of BTC has moved in an unfavorable direction for the primary cryptocurrency. After marking a 5-month low recently, Bitcoin’s dominance has dropped even lower now to 61.6%.

This suggests that most altcoins have increased their positions more than Bitcoin. Ethereum and Chainlink, for example, are up by 8% to $263 and $7,7, respectively. Bitcoin Cash, Bitcoin SV, Cardano, and Litecoin are similarly rising by about 3%.

Cryptocurrency Market Overview. Source: coin360.com
Cryptocurrency Market Overview. Source: coin360.com

From the low-cap alts, Terra is the most impressive gainer with a surge of 16%, followed by Reserve Rights 11.44%, and Flexacoin – 11%.

Ampleforth, on the other hand, loses the most today. AMPL is down by 24% to $1.87. iExec RLC drops by nearly 10% to $1.29. After several consecutive days of gains, Swipe finally retraces by 8% to $1.60.

However, despite the current surge in altcoin prices, it’s worth noting that if Bitcoin is to continue increasing, they will likely lose some ground. Hence, traders who are enjoying the current alt season might want to be a bit more cautious.

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