historically, altcoin prices fell in December, wiping out millions of market capitalizations each year. Analysts believe the trend could repeat and trigger a drop in altcoin prices in the next two weeks. A correction in Bitcoin dominance could negatively impact the price of altcoins.
Since 2017, the Bitcoin bull run has been followed by a “hard fall” in altcoins as capital returns to the mainstream crypto. Millions of people in the market capitalization were wiped out from the crypto market as altcoin prices plummeted. Analysts believe that December is the best period to buy altcoins.
Buying Altcoins Instead of Bitcoin (BTC) In December May Be More Meaningful!
In Bitcoin’s 2013 and 2017 bull runs, the price hit an all-time high in December. Bitcoin’s dominance peaked in December, driving altcoin prices and market share down.
Analysts observed that December is the best time of the year to buy altcoins. In 2020, even when the price of Bitcoin also plummeted and over $40 billion was wiped from the crypto market, the altcoins that followed are offering investors buying opportunities at a rare discount.
Altcoins have lost a significant percentage of their market share alongside the Bitcoin “bloodbath”. Chainlink, Cardano, and XRP lost double-digit losses in a single day, giving investors the opportunity to buy.
Analysts believe that it is possible for this trend to repeat itself and think that this December will present a buying opportunity for altcoins.
Famous analyst Michael van de Poppe shared a tweet supporting this issue:
Historically, the best period to buy #altcoins is December.
Most likely, this will repeat again.
— Michaël van de Poppe (@CryptoMichNL) December 16, 2021
The meme coin Dogecoin (DOGE), one of the important names in the altcoin world, has recently rallied over 25%, but it owes this rise to the news given by Tesla. Altcoin Sherpa, on the other hand, took a different approach and reminded that there is a pullback in the prices of other meme coins such as Shiba Inu (SHIB).
$DOGE: As I thought, this pump was short lived and quickly retraced. Entire altcoin market looks bad for now, I’d be patient with entries. #DOGE pic.twitter.com/yRQeRJi38d
— Altcoin Sherpa (@AltcoinSherpa) December 15, 2021
Bitcoin dominance is currently 38.6%, as seen in previous BTC bull runs, a correction could have a negative impact on altcoin prices.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.