There is this unfounded believe that would die in the future while would flourish. However, market experts are coming out, proving otherwise that the ultimate “death” of would drag with it.
bitcoin Decides the Direction of The Crypto Market
As it is, was the first created, and it is still the leading digital currency dominating market share as well as being the most capitalized. If anything, price fluctuation usually determines the flow of most . That’s exactly what a Twitter user, is trying to put across: “If you think $ will never recover, don’t expect your $alts to do so. I’ve seen many newcomers over the past months thinking $ could die while their alts with “new super technology” would resist and skyrocket. Whatever the tech is behind, $ is the king in this town.”
The bold trader pointed out that despite the progress made by other in terms of technology and , remains the king in the crypto space and it usually decides the directional movement of the .
Read: Ready to Make a Big Move?
This point was supported by
Chakradhar Reddy, a computer science engineer, and a tokenization expert who
stated that despite the progress made by , is still the leading
. He added that use cases are necessary to sustain any .
There are some crypto enthusiasts who
believe that such as XRP have the potential to overtake as the
leading digital currency. But even if it is a possibility, it will be an uphill
task considering the deep gulf in market valuation and perception between the
two. Presently, (XRP) is struggling with security and centralization
claims but has been given a clean bill of health. The Crypto Monk supports
this view, : “There are still “large accounts” thinking that alts can
decouple and can die without impacting their alts. $ is still the king
in this town. If you still don’t understand this, quit crypto and stick
to legacy market.”
The Direct Correlation Effect
The point made by The Crypto Monk is
very valid as data pulled from shows that there is a high
correlation between the cost of and other . A look at
the platform indicates that has a relationship of over 80 percent
against virtually all other .
This is an indication that the price affects the prices of 80 percent of the time. With such a huge correlation, it is clear that it would be tough for other to achieve significant price increase without the help of the leading digital currency.
There have been many reports written
regarding the correlation between price and that of , with
different reasons given for this connection. The primary reason given was that
is the most liquid at the moment, with a market
dominance of over 50 percent. For this reason, is still the most
attractive for investors.
Also Read: (BTC) To Stagnate In
$5,000 Range If History Repeats Itself. And That Isn’t Bad
In addition to that, most
exchanges have as the most popular
pair. With that in mind, involve traders using to
buy a digital currency and vice versa. In this regard, currently plays
the role of US Dollars in the space.
has established itself as the
most dominant , and despite the progress made by the
over the years, would still be considered as the primary pair, and
it would even affect the prices of the other . At the moment,
the other leading cryptos do not have the popularity to challenge in
these aspects.
Published at Wed, 10 Apr 2019 14:11:10 +0000
