Bitcoin’s fall from over $57,000 to under $54,000 on the 22nd of March had a corresponding effect on the altcoin market, a market that shares a strong correlation with the performance of the world’s largest cryptocurrency. The price actions of alts such as Polkadot, Dash, and Dogecoin provided evidence of the same, with the larger market waiting on BTC’s next big move, at press time.
Polkadot, the crypto-market’s sixth-largest cryptocurrency, has had a topsy-turvy month, with the alt’s price action dipping and hiking inconsistently on the back of Bitcoin’s movement. The same was the case over the last 48 hours too, with DOT dropping by over 9% since the 22nd. At the time of writing, while some recovery efforts were underway, it was still too early to say whether a trend reversal was possible.
Accompanied by a hike in trading volume over recent trading sessions, the Chaikin Money Flow registered a sharp surge in capital inflows, pushing it towards zero. On the contrary, the Parabolic SAR’s dotted markers continued to highlight the bearishness of the prevailing market.
According to reports, many projects facilitating cross-chain integration with the Polkadot ecosystem have rallied over the past few weeks, including projects such as REN and OCEAN.
The aforementioned correction in price had been projected by a recent analysis. However, it’s worth noting that the same was predicated on DOT’s natural price movement, rather than a BTC-fueled correction.
Dash, one of the crypto-market’s leading privacy coins, like DOT before it, was one of the many alts to take Bitcoin’s lead to fall on the charts. Unlike Polkadot, however, DASH stabilized following the fall on the 22nd. In fact, while the alt did drop by over 7.3% on that day, it has since consolidated around that price level.
The altcoin’s technical indicators presented mixed signals. While the Bollingers Bands continued to project a degree of near-term price volatility, possibly in the southbound direction, the Awesome Oscillator pictured a hike in positive market momentum.
Dash’s press time movement was in line with the price action underlined by a previous analysis, one which highlighted strong buying activity in the DASH market.
Dogecoin, the market’s premier meme-coin, has been in the news a lot over the past few weeks and months, thanks to a series of price hikes and crashes and celebrity endorsements. Like Polkadot, DOGE too has fallen steadily on the price charts since BTC fell below $54,000, with the alt registering a depreciation of almost 8% since.
The scale of the aforementioned corrections was highlighted by its indicators as while the MACD line was well under the Signal line, the Relative Strength Index was skirting the oversold zone.
Thanks to its wayward movement, quite a few questions have been raised about if and whether it’s a good time to buy Dogecoin. However, not everyone is elated at DOGE’s prospects, with Mike Novogratz recently calling out Mark Cuban for Dallas Mavericks’ Dogecoin decision.