A week ago, I discussed the possibility of seeing strength in the alt-coin market. Today, we have been seeing this strength.
Most of the increase so far has been seen in Bitcoin Cash. This makes some sense as BCH acts as an easy exchange from USD, directly into an altcoin. Perhaps BCH is also seen as newer and edgier than ETH these days.
EOS Looking Solid
EOS is up about 5% today, it recently broke out of a multi-week wedge to the upside.
The red resistance line is sitting at about 6.60. I think it stands a good chance of testing this resistance in the coming days / weeks.
Increases in the alt-coin market tend to hit the coins you least expect. I have found you generally want to stick with the ones that failed to go up as much as the others, because the increases tend to rotate across different coins. Such as BCH having a great day today, certainly it could be the beginning of over-performance, but it might just be a sign it will underperform other coins in the days to come. Technical analysis may reveal which is likely. As a fundamental investor, I tend not to jump ship so easily for the best gainers.
That all said, I like my EOS choice from several days ago, still. It's captured gains similar to other alt-coins such as Ethereum, but EOS has the added potential for more future hype, and edgy technology that has not gone fully investment mainstream in crypto.
Ripple Looking Great
Ripple looks like it may want to break above the prior high of 70 cents. News for Ripple has been going well.
Based on the chart behavior, fundementals of Ripple, and also how much it was decreased in value, I would assign a high probability it breaks 70 cents, and pushes toward 90 cents to $1 in a 3 month time frame or less. It could happen quickly, but I would view the charts for this movement in the alt-coin market, and when the movement seems to fizzle or if Ripple has already hit the target by then, I would assume this to be a temporary top.
What we would want to avoid is being invested in alt-coins when they are topping, and BTC might be looking to make a significant move. (If we are playing the game this nimbly.)
It looks like bitcoin dominance may fall below 50% soon which could signal further strength from the Altcoins. This happened last year as well as the market was getting ready to launch higher. Will be interesting (and great) to see!
Everything is looking great right now may be the alts are off to a flyer !!