The Bitcoin dominance has hit a new cycle high, providing a bearish outlook for altcoins and any potential altcoin season. Crypto analyst Finsends has commented on this development and how it could affect the altcoin season moving forward. 

What’s Next As Bitcoin Dominance Hits New High?

In an X post, Finsends stated that the Bitcoin dominance has made a new high and that it feels like it can never go down again. However, he opined that there should be a bigger correction starting somewhere around the current levels. The analyst added that the potential target area for a top in this scenario goes up to 68.56%.

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His accompanying chart showed that the Bitcoin dominance could hit this projected top of 68.56% in July, after which a decline would begin. Based on the chart, the BTC.D could drop to as low as 48% on this decline, paving the way for a potential altcoin season. If so, then altcoins could witness significant gains in the second half of the year and outperform BTC in the process. 

In an X post, crypto analyst Michaël van de Poppe also commented on the rising Bitcoin dominance and a potential altcoin season. He noted that the altcoin season indicator has hit its lowest number in two years. The analyst added that the lows of this indicator over the last six years were in June or July.  

Based on this, he remarked that there seems to be a pattern since the indicator has hit a low again this June. Michaël van de Poppe didn’t predict when exactly altcoin season could begin or if the Bitcoin dominance would top anytime soon. However, before now, he had expressed confidence that the alt season would still happen. The analyst noted that the last cycle was also called a Bitcoin cycle until altcoins started to run and heavily outperformed. 

What Needs To Happen For Altcoins To Take Off

In another X post, Michaël van de Poppe stated that altcoins are in need of an upward push from Ethereum, and that this needs to happen through a push of Bitcoin. He further remarked that once the BTC price bottoms out, that is a very likely moment for Ethereum to continue outperforming the flagship crypto, with the Bitcoin dominance declining. 

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The analyst believes that altcoins would start “shining” when the next leg upwards for Ethereum takes place, possibly ushering in altcoin season. He declared that once altcoins start to shine, market participants can expect them to heavily outperform the markets. However, for now, Michaël van de Poppe believes investors need to have some more patience. 

At the time of writing, the Bitcoin price is trading at around $101,700, down in the last 24 hours, according to data from CoinMarketCap.

Featured image from Pixabay, chart from Tradingview.com

Amid the 2023 bear market, one can’t help but reflect on the game-changing moments that have shaped this industry.

The ‘DeFi Summer’ of 2020 was a turning point in the blockchain industry, as CryptoSlate remembers. This season saw the debut of several DeFi projects, signaling the dawn of a new era in finance. DeFi’s evolution during this period didn’t just make waves; it catalyzed a paradigm shift, positioning itself as the bold trailblazer of this unprecedented movement.

Having been around in concept since 2015 through projects such as MakerDAO, DeFi experienced a monumental surge during the bull run of 2021, redefining traditional finance and making its mark as a significant player in the market. Yet, today, with token prices down up to 90% as we navigate the murky waters of the current bear market, we look at the velocity of DeFi adoption and the impact of market cycles on adoption.

DeFi TVL analysis by chain since 2017

Against this backdrop, our analysis focuses on data collected from 2018 to 2023, with an emphasis on adoption across chains such as Ethereum, Tron, BNB Chain (BSC), Arbitrum, Polygon, Optimism, Avalanche, Mixin, Pulse, Cronos, Solana, Cardano, and Osmosis.

The table below shows the chains analyzed, the date the chain reached its all-time high for TVL (as tracked by DefiLlama,), the time it took to get its all-time high since launch (velocity), its all-time high (ATH), and the current TVL.

The chart below visualizes the velocity of each chain in reaching its all-time high in TVL. The DeFi pioneer, Ethereum, has technically had DeFi activity since 2017, and thus it stands out as the slowest adoption, given its all-time high was not reached until Nov. 2021.

Interestingly, November 2021 coincides with the all-time high for Bitcoin and likely impacted DeFi on Tron and Solana, which also saw peaks at this time.

Bitcoin adjusted velocity

As Bitcoin is seen as a barometer for the overall health of the cryptocurrency market, the velocity of DeFi adoption was adjusted based on Bitcoin’s price at each chain’s DeFi launch.

CryptoSlate cross-referenced the price of Bitcoin with the all-time high data to create a Bitcoin-adjusted velocity (BaV) for each chain.

The chart below’s grey line and plot points represent the BaV for each chain. The chart reveals that the DeFi ecosystems of Tron, Polygon, and BSC were all positively impacted by Bitcoin’s price and the supporting bullish sentiment of the market.

Analysis of chain velocity

Ethereum was removed from the above chart for readability as it recorded a massive 7,936 velocity score compared to the next closes, with Tron at 1,065 and Arbitrum at 829.

With the bear market factored in, Pulse’s velocity reduced, giving it a score of just 10.98, as it reached its ATH in just 5 days. The next lowest was Cardano at 109, some ten times greater.

Using the BaV metric, it appears the best-performing chains were Pule, Cardano, Cronos, Solana, and Osmosis. While Ethereum, Tron, and Arbitrum stood out as having the slowest velocity.

The diverse trajectories of DeFi adoption across different blockchain networks underscore the importance of timing, market conditions, and the inherent advantages of being an early mover in the space. However, as the remarkable case of Pulse shows, even newcomers can achieve rapid growth with the right factors aligning.

Understanding the data

The speed at which you reach the all-time high in TVL is a complex metric. Some may argue that the faster you go up, the quicker you come down, and that is definitely the case for some chains.

However, the fundamental factors under analysis here concern momentum and adoption. Further, all the projects listed recorded at least $330 million locked, with most over $1 billion. These are not projects with low market cap and low liquidity.

The projects analyzed in this article are critical to identifying the strengths and weaknesses of the historical DeFi onboarding process. The average time it took for a chain to reach its ATH was around 338 days, meaning, outliers aside, most chains take almost a year to peak in DeFi activity.

* Launch date refers to the date of the first data tracked by DefiLama for each chain**
** Using MakerDAO’s DAI launch as the date for the Ethereum DeFi launch and data according to CoinmarketCap’s historical data.
*** Additional data included due to DefiLlama 2020 cut-off date.

Elon Musk’s acquisition of the social media platform Twitter has caused ripples across the cryptocurrency market. As such, tokens like Dogecoin (DOGE), Binance (BNB), and Big Eyes Coin (BIG) are affected or are likely to be.

But why are each of these three tokens subject to change based on this development? In this article, we will explore these three tokens and their association with Twitter, to try and ascertain why these projects may have an exciting 2023 ahead of them.

Binance Supports Musk In Crypto Integration

One crypto that has made its stance known regarding Elon Musk’s acquisition of Twitter is Binance. 

Having said at one point during a conference in regards to joining Elon’s new Twitter board that ‘if he asks me to do it I probably will’, it is apparent that the blockchain projects CEO Changpeng Zhao is viewing this new era of Twitter as a positive. 

Elon Musk is a major believer in the potential of the crypto market, making the acquisition of Twitter a legitimate opportunity for the crypto market to attempt to make it mainstream. Up until now, crypto is still something of a niche, however now, that position could change.

Binance is one of the market’s most diverse blockchains, having worked on a variety of projects to bring cryptocurrency to more everyday people. Will this be the one that allows them to fulfil this dream? Only time will tell. 

Is Dogecoin On The Cusp Of Greatness?

Dogecoin is Elon Musk’s favourite crypto token. This is morealess indisputable, as the Billionaire has frequently voiced his love for the token and the potential it has within the market. The token has also been integrated into many of Musk’s other business ventures, including as a method of payment for some Tesla products.

It is no surprise, therefore, why so many have speculated that the token will become part of Twitter’s new infrastructure at some point in the future. This would only result in the token’s market value exploding as it gains adoption, giving it the potential to take meme tokens and the crypto market in general to a whole new frontier.

But, how would this affect other meme tokens on the market?

Big Eyes Coin Could Enter The Market In Style

With the success that meme tokens may be on the verge of experiencing thanks to Musk’s adoration of Dogecoin, other meme tokens set to soon enter the market may be doing so under favourable conditions. 

Big Eyes Coin is a meme token currently in its presale that is expected to make big waves upon entering the general market. Having already raised close to $12 Million, the project has certainly drawn attention, with the many features of the token giving it a fair chance of success.

Most notably, the tokens visuals greatly clash with popular meme tokens like Dogecoin and Shiba Inu (SHIB), opting for a cat-themed token. This rebellion extends further than just aesthetics, however, as the token also has many active goals and ambitions designed to help push Big Eyes Coin towards greatness.

One example of this is the fact that the project operates on a dynamic tax system, where the buying and selling of BIG tokens can be done without tax. This results in users keeping more money in their wallets, encouraging an active and thriving economy. 

This also helps in the project’s other goal, which is saving the oceans. Donations to ocean charities are set to commence using BIG tokens, meaning that the higher the value of BIG, the higher the value of the donation.

Want to get involved? Then tap the button above, and use code BIGsave825 for an exciting 5% bonus BIG tokens.

To learn more, visit:

Presale: https://buy.bigeyes.space/ 
Website: https://bigeyes.space/ 
Telegram: https://t.me/BIGEYESOFFICIAL 
 

The Cardano network reported a significant daily address activity increase that has reached 90% after the number of delegated wallets on the network hit a massive milestone of 1.2 million addresses. 

Unfortunately, Cardano is notorious for its fundamental growth, while the price of its underlying asset, ADA, remains stagnant. However, the activity of holders on the network quite often correlates with the price performance of assets directly.

Meanwhile in Cardanoland https://t.co/YazNexsgKd

— Charles Hoskinson (@IOHK_Charles) November 24, 2022

In the last seven days, Cardano has gained more than 2.8% to its value despite the depressing state of the cryptocurrency market. The growth of fundamental metrics on the network could have been the main reason behind the positive price performance.

Generally, Cardano is moving in a downturn since 2021. The main reason behind it is usually tied to the large percentage of retail holders of ADA and the lack of institutional exposure, which usually acts as the main driver for digital assets.

The spike in 24-hour address activity could also be the result of selling pressure reflected in the last two red days for ADA on the market. Whenever large holders are willing to take profits or limit their exposure to an asset, they move large quantities of tokens or coins from their cold and hot wallets to exchanges, pushing network activity to local highs.

The positive reasoning behind the sudden spike in activity could be tied to the rising activity of blockchain developers, which is a strong fundamental boost for any network or blockchain-based project. Thankfully, Cardano remains one of the most active developer crypto projects in the industry, which is the main reason why one of the oldest networks on the market is still blooming.

The Bitcoin price range has become significantly more subtle over the last several years as it has grown in popularity as a cryptocurrency. It is currently valued at $42,398.83 as of Sunday.

On Saturday, the BTC/USD exchange rate increased by 7.07%. Bitcoin ended the day at $42 414, up 3.54% from Wednesday’s low.

According to analysts, investors are in profit taking mode this week, rapidly eroding daily gains and capping the market at around the 45K level.

Bitcoin fell to an intraday low of $43,917.4 Saturday morning before recovering. Late in the day, a new high of $48,598 was set, surpassing the previous high of $43,284 set earlier in the day.

Despite concerns about the global economy and rising inflation, investors are attracted to Bitcoin’s (BTC) price movement.

Quick Bitcoin Price Analysis

Bitcoin would have to avoid a break below the pivot level of $45,841 in order to activate the first major resistance level at $48,765.

The crypto would require broad market support to break out of this new swing high of $48,945. Unless there is a sustained crypto rally, any upside is likely to be limited by the first major resistance level at $50,000.

If the pivot level at $46,841 is breached, the first major support level at $45,084 comes into play.

However, barring a prolonged crypto sell-off, Bitcoin should avoid falling below $45,000.

BTC/USD price at $42258 on the daily chart | Source: TradingView.com

Related Reading | Making Money in Bitcoin Markets? Don’t Forget About Crypto Taxes

The world’s most popular crypto would require broad market support in order to overcome the recent swing high of $48,945.

The first critical barrier level and resistance at $50,000 is likely to prevent further gains until crypto assets experience a sustained rise.

In the event of a prolonged crypto rally, Bitcoin may test the second major resistance level at $51,522. If the pivot point at $46,841 is breached, the first significant support level at $45,084 will be tested.

On the other hand, unless there is a significant crypto sell-off, Bitcoin should avoid falling below $45,000. The $42,161 mark is the second significant level of support.

Bitcoin Forecast

Though Bitcoin appears to be recovering, it is still a long way from its November all-time high of $68,000. Despite the recent price decline, Bitcoin remains more than twice the value it was just a few years ago.

Meanwhile, despite the volatility and recent price drops, many analysts believe it will eventually surpass the $100,000 mark.

However, there are divergent views on when and how this event would occur. When it comes to bitcoin, experts advise novice investors to exercise caution when deciding whether to invest a percentage of their assets in cryptocurrency.

Bitcoin’s price has risen at a similar rate to that of other cryptocurrencies over the last several years. How much Bitcoin’s value will increase over time is a legitimate concern for investors.

Related Reading | Bitcoin Steadies Above $45k, US Inflation Comes In At 7.5% Year Over Year

Featured image from TechCrunch, chart from TradingView.com

Bitcoin has been doing good lately in the market. The digital asset broke the $50K price point earlier this week, before seeing a slight retracement down to $49K. This has been driven by a number of factors in the market. Growing interest is at the top of the list. As the price rallies, a number of interesting things have been happening in the Bitcoin space, ranging from holding patterns to the duration of the hold.

Recent data shows that the number of short-term bitcoin holders has declined to new lows. Most investors are now just holding their coins and not moving them out of their wallets. This is happening regardless of where the price of BTC is at any moment. A record of approximately 84% of the total bitcoin supply has not been moved in three months. This timeline coincides with the end of the last bull rally that saw the asset hit a new all-time to the present rally.

Related Reading | South African Man Loses $900,000 Worth Of Bitcoin After Accidentally Deleting Keys

Investors Moving Bitcoin Out Of Exchanges

A bull rally that would usually lead to an accelerated rate of sell-off is now having the opposite effect. Instead of investors clamoring to sell off their coins and take profits as the price goes up, data shows that investors are hoarding their coins. This is apparent in the inflows and outflows from cryptocurrency exchanges.

Related Reading | Crypto Market Goes Into “Extreme Greed,” What This Means For Bitcoin

Mounting buy pressures is now the order of the day as long-term holders have refused to move any of their bitcoin holdings. With over 80% of total supply barely moved, demand has now exceeded supply in the market, which has led to growing BTC prices. The accumulation patterns show that long-term holders are just taking shares from short-term holders to add to their stash.

Short-term BTC holders are down | Source: Twitter

This is leading to scarcity in the digital asset that will see buy pressures continue to go up while sell pressures drop. Outflows from crypto exchanges show that investors are accumulating and consolidating their BTC holdings for the long term.

Tides Are Changing, And So Are Hands

The past couple of years has seen bitcoin investors change their investment strategy in the market. Before, the predominant investing pattern was to buy the asset, hold for a period of time, then sell off during a bull rally. This has been the case for previous rallies. These patterns always plunged the market into a long bear stretch following a bull market.

BTC price corrects down below $50K | Source: BTCUSD on TradingView.com

But as the market has evolved, investors are evolving with it. The potential of BTC no longer is a short-term profit grab. Instead, coins are being held for the long term. Bitcoin’s growth over the years has shown that the asset is still only in its early stage of growth. So the next couple of years will most likely see the digital asset post bigger gains.

The number of weak hands in crypto is decreasing by the day. More investors are turning towards holding for the long term. Bitcoin now has more diamond hands in the market than there are weak hands.

Featured image from USA Today, chart from TradingView.com