Data shows traders rushed to buy altcoins during Bitcoin’s dip to $50K

 Data shows traders rushed to buy altcoins during Bitcoin’s dip to $50K

Bitcoin price may be stuck in a rut but this hasn't stopped traders from loading up on LINK, BAND and Qtum.To get more news about WikiFX, you can visit wikifx.com official website.

　　Bitcoins (BTC) recent downturn temporarily pulled its dominance rate down to 49.5% which is the lowest level since August 2018. This has led a growing number of traders to predict that altcoins will outperform Bitcoin in the short term.

　　Over the past few months, the price action from altcoins seems to be disengaging from Bitcoin. Take for example, Ether (ETH), which hit a new all-time high today even as Bitcoin price is down 20% from its all-time high.The major factor that could have tilted the scale in favor of altcoins is the massive rise in the popularity of the decentralized finance space. New York Stock Exchange president Thomas Farley pointed out in an interview with CNBC that “DeFi exchanges are doing as much volume if not more than Coinbase today.”

　　Lets look at the fundamentals and technicals of three tokens that have been on the rise in the past few months.

LINK/USDT
　　Chainlink (LINK) is one of the most popular decentralized oracle solutions. To support the rapid pace of innovation in the crypto industry, Chainlink outlined its vision for the future in its new whitepaper dubbed Chainlink 2.0 on April 15.

　　The whitepaper presents a new architecture for building hybrid smart contracts where second-layer networks called Decentralized Oracle Networks store and compute the data off-chain before feeding the input on the blockchain. This new concept could empower developers to build hybrid smart contracts quickly, similar to application programming interfaces (APIs) that developers build in the web world.

　　Another positive for LINK investors came as Grayscale announced the addition of the altcoin to its Digital Large Cap Fund on April 6. Although the allocation is only 0.87%, the inclusion could bring it into the focus of institutional investors.

　　On April 2 Polkadot and Chainlink announced that Chainlinks price feeds woul be available as Substrate oracle pallet, enabling projects in the Polkadot ecosystem to integrate Chainlink oracles through a simplified library.

　　LINK is currently correcting from its sharp rise from $23.61 on March 24 to the all-time high at $44.33 on April 15. Although the price plunged below the moving averages on April 18, the bulls aggressively bought at lower levels as seen from the long tail on the days candlestick.Since then, the bears and the bulls have been battling it out at the 20-day exponential moving average ($35.89). The bulls are attempting to defend the 20-day EMA support and launch the next leg of the up-move while the bears are trying to extend the correction by breaking the support.

　　The marginally rising 20-day EMA and the relative strength index (RSI) above 57 indicate a minor advantage to the buyers. If the bulls can push and sustain the price above $40, the LINK/USDT pair could retest $44.33. A breakout of this resistance could start the next leg of the uptrend, which could reach $50 and then $55.72.

　　This bullish view will invalidate if the bears sink and sustain the price below the 20-day EMA. Such a move could pull the price down to the 50-day simple moving average ($31.42) and delay the start of the next leg of the uptrend.

BAND/USDT
　　Band Protocol (BAND) was featured by Cointelegraph on Feb. 2 when its price was at $11.14. Since then the price h rallied to an all-time high at $23.30 on April 15, a gain of 109% in about two and half months.

　　The protocol announced on April 15 that its oracle data is live on Google Cloud Public Data, which can be used to build traditional, hybrid blockchain and cloud applications. Band said that the integration into Google Cloud Public Data was the first among many use-cases being explored with partners “to bridge traditional enterprises and blockchain applications.”

　　Band has continued to build partnerships to increase its market share. In the past month, it has announced partnerships with Krystal, Equilibrium, and Polygon. Additionally, one of the biggest financial institutions in Thailand, SCB 10X partneredwith Band as a node validator.

　　BAND is currently trading inside a large range between $11.50 and $20.62. The bulls had pushed the price above the overhead resistance of the range on April 15 and 16 but they could not build up on the breakout.