The cryptocurrency world had a fast and somewhat stressful start to November. It’s been a rough week for investors as Bitcoin (BTC) struggles to reach its historic peak of $73,000. Uncertainties about the results of the US Presidential Elections and expected Fed interest rate cuts made it difficult for investors to focus. These factors are among the main reasons for the volatile mood of the market.
Bitcoin Price Movements
Bitcoin was pretty turbulent last week. Efforts to reach the record level of $73,000 were in vain because the bulls could not break this resistance once again. The weekly close occurred in an inverted hammer formation, sending mixed signals to investors. Despite this, Bitcoin’s market dominance attracted attention, exceeding 60%. This reveals that Bitcoin is still the strongest asset in the market and supports investor confidence.
On the other hand, the altcoin market displays a more stagnant outlook. Bitcoin’s increasing dominance is limiting the momentum of other cryptocurrencies. It seems that altcoin investors will need to be more cautious in the short term. Bitcoin (BTC)’s impact on the market is still large and its direction is difficult to determine, causing concern among investors.
Why Are Altcoins Dormant?
Although the approval of several spot Ethereum ETFs in recent months has raised hopes, the altcoin market has not experienced a major boom. Similar products are planned for altcoins such as Solana (SOL), XRP and Litecoin (LTC). However, overall demand is not as high as in previous bull markets. Investors are wondering why altcoins are still dormant and questioning when a bull run will begin.
According to Bitcoin and crypto analyst Benjamin Cowen, the altcoin market is unlikely to enter a major bull run until early 2025. ALT/BTC losing an important support level is a negative signal for the market. However, Cowen adds that there is a chance for altcoins to recover if the Fed changes its monetary policies. So, it doesn’t paint a completely hopeless picture; It will just take a little more patience.
Macroeconomic Factors and Future Expectations
Macroeconomic factors continue to play a leading role in the crypto market. It’s been seven months since Bitcoin’s (BTC) fourth halving, but the market is still searching for balance. Famous analyst PlanB thinks that the results of the 2024 US Presidential Elections will have a major impact on the crypto market. New policies and possible regulations can shape investor decisions and price movements.
Additionally, if the Fed cuts interest rates, it may be the beginning of a new economic era. This can create both opportunities and risks for investors. While macroeconomic uncertainties continue, investors should not lose sight of the big picture and take careful steps. As we reported as Kriptokoin.com, Bitcoin price affects the markets greatly. The market is as unpredictable as ever, so it pays to think strategically.
