Dogecoin rally benefited other altcoins

All cryptocurrency bull markets have at least one surprise trigger that excites investors and raises the overall value of the market.

In the 2021 bull market, that trigger was Dogecoin (DOGE), which is booming in popularity and is on the agenda in both traditional and alternative finance circles.

Dogecoin Price Index: How much is 1 Dogecoin in TL? (DOGE TL)

4-hour chart of DOGE / USDT pair. Source: TradingView

With Dogecoin gaining 14,000 percent in the nearly four months since the beginning of the year, it is natural for investors to take steps to protect their profits and look for the next cryptocurrency that has the potential to rise.

Dogecoin’s performance even caught the attention of John Bollinger, creator of the Bollinger Bands indicator. Bollinger, who previously said he found the performance of the coin to be impressive, suggested in his post on May 5 that Dogecoin investors should start thinking that $ 0.69 could peak:

It seems that some investors share similar views with Bollinger. DOGE experienced a 25 percent correction after reaching $ 0.69, then rebounding back to around $ 0.60.

You may be interested in: What are Bollinger Bands? How to use?

Dogecoin’s momentum benefits big altcoins

Market watchers noticed that the vast majority of DOGE’s trading volume is on the trading application Robinhood. Other cryptocurrencies on the platform could also benefit from the transfer of profits from DOGE to relatively slow performing cryptocurrencies.

Indeed, all major cryptocurrencies listed on Robinhood on May 5 saw double-digit gains as DOGE lost 25 percent in value.

Ethereum Classic (ETC), the Ethereum fork showing one of the biggest increases, hit an all-time high of $ 100 on the same day. Bitcoin Cash (BCH) and Bitcoin SV (BSV) also gained 25-30 percent.

The price of Litecoin (LTC), which rose less than the tokens listed on Robinhood, also rose 15 percent, reaching only 7 percent below its all-time high of $ 375 to $ 351.

4-hour chart of the LTC / USDT pair. Source: TradingView

Check Also

“Medium term target for Litecoin price is $ 700”

Commenting on the Litecoin (LTC) price, the analyst claimed that the altcoin is far below …

Leave a Reply

Your email address will not be published. Required fields are marked *