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Over the past few months, Bitcoin has been moving within a distinct price range. From March 2024 to August 2024, Bitcoin traded within this range for about 158 days. Throughout this period, the price fluctuated between roughly $60,000 and $73,000. Whenever Bitcoin approached the bottom of this range, around $60,000, people became very bearish. This also took a toll on altcoins, who experienced volatility.
Analyst Miles Deutscher discussed the recent performance of various altcoins, talking about those that showed strong or weak movements. He said that Solana and Toncoin were among the top performers, with Solana bouncing 40% and Toncoin rising 35%. Meme coins like MOG and Popcat also did well. On the weaker side, coins like Injective and AVAX didn’t bounce much and even broke below key support levels.
The analyst outlined two clear scenarios for trading altcoins:
Bullish Scenario: If Bitcoin rises above $60,000 and holds that level, it could signal a strong bullish trend. In this case, Miles will buy into the strongest altcoins. However, if Bitcoin fails to maintain above $60,000 and drops below $58,000, he plans to cut his positions. This strategy aims to capitalize on Bitcoin’s potential uptrend while minimizing losses if the trend reverses.
Bearish Scenario: If Bitcoin fails to break above $60,000 and starts to drop, especially if it falls back to around $50,000, Miles will look for opportunities to buy altcoins at discounted prices. He will focus on altcoins that have recently performed well but might drop in value if Bitcoin declines.
As for Bitcoin, he said that the new potential range could be between $50,000 and $60,000. This is one step lower than the previous range and might be influenced by macroeconomic factors like geopolitical uncertainty, changes in the Yen, election outcomes, and seasonal trends.