Speculators Move Back Into Altcoins While All Eyes Focus on Bitcoin
While investor attention has been on Bitcoin’s price movement amidst the ongoing drama surrounding U.S. Securities and Exchange Commission (SEC) following a string of bearish decisions regarding BTC-backed exchange-traded funds (ETFs), speculative investors have started to move back into several top altcoins.
Over the past week, Bitcoin has traded relatively flat and is currently up around 3.4%. Given that BTC currently makes up 56% of the AltDex 100 Index (ALT100), a benchmark index for large-cap cryptocurrencies and tokens, the index has also remained relatively flat over the past week.
Despite the seemingly quiet week of trading, several altcoins in the index posted double-digit gains, indicating that the risk-appetite of speculators could be beginning to improve.
Notable gainers over the past week include Nano (NANO) and ICON (ICX). Nano’s run-up in price coincides with a recent network test that had the Nano blockchain sustaining around 75 TPS over a thirty minute period, with a peak as high as 756 TPS. The second highest peak came in around 580 TPS, which is a significant jump from previous stress tests that were hitting in the range of 100-300 TPS. We reported late last week that Nano still had room to run, and has since increased more than 25%.
ICON, on the other hand, has benefited greatly from an optimistic tweet by crypto-influencer Joesph Young regarding the team’s recent decision to purchase $5 million of the project’s own tokens.
The outcome in the weeks to come will show whether the significant bounce in many altcoins is simply a relief bounce or a sign of improving market conditions.
Disclaimer: This article’s author has cryptocurrency holdings that can be tracked here. This article is for informational purposes only and should not be taken as investment advice. Always conduct your own due diligence before making investments.