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Altcoin dominance (Others.D) is at a critical juncture. The 4H chart shows that it has found support atop the 6.51 level and eyes further upside. If altcoin dominance (others.d) were to rally from here, we could be looking at a prolonged bull run. However, as exciting as it seems, the probability of that happening at this point in time is quite low. That being said, it could keep on trading sideways for months and around February of next year when we see a potential outcome of President Trumps impeachment, the markets could react to it and we could expect a strong reaction in the cryptocurrency market as well with altcoins reacting more aggressively as they do most of the time.

The mid-term outlook of the stock market indicates that this is not a good time to be long. If people are not interested in real companies, they are unlikely to be interested in tokens most of which do not have real businesses behind them. The narrative that Bitcoin (BTC) could be a hedge during the next financial crisis does not have much to do with altcoins because Bitcoin (BTC) can be presented as a store of value, having a limited supply and the potential for more mainstream adoption but the same cannot be said about altcoins. The largest altcoin by market cap, Ethereum (ETH) does not have a fixed supply and is a poor store of value. The purpose of Bitcoin (BTC) was not to make payments faster and cheaper but to solve the double spending problem that we currently face with fractional reserve banking.

Ethereum (ETH) has lost most of its yearly gains and is close to where it started from in December of last year. The 4H chart for ETH/USD shows that the price is now at risk of further downside after the recent bullish move that took retail bears by surprise. We might continue to see such misadventures along the way but the trend remains bearish. There is no point in day trading such moves unless you are a whale. The price bounced strongly off the 161.8% fib level and pierced through the 127.2% but it has retraced significantly and as we can see on the RSI, it has now run into resistance ready to decline further.

The price might continue to trade sideways for a while but the move downwards is not complete yet and it is only a matter of time before we see further downside. Ethereum (ETH) has lost significant ground against Bitcoin (BTC) which means that the next downtrend puts it at risk of crashing down to a double-digit price. While Ethereum (ETH) and other altcoins have seen a sudden spike after the recent move in Bitcoin (BTC), until and unless we have sustained growth, these moves will be of little consequence and will only end up misleading retail bulls into buying before the next major crash.

Continued here:
Can Ethereum (ETH) And Other Altcoins Still See A Rise In Dominance? - Crypto Daily