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These days, a study of correlation statistics and recent altcoin market performances makes for insightful reading. Although Bitcoin, the world’s largest cryptocurrency, has recently traded below the $62k threshold since reaching an all-time high, industry altcoins such as Chainlink, Dash, and DigiByte have recently surged. However, whether this will be a long-term pattern in the future, particularly as the alt season heats up, is unknown at this time.
Chainlink has been one of the best-performing cryptocurrencies in the industry over the last 6-10 months, with a market value of more than $18 billion at the time of publishing. The month of April came at a good time for Connection, as it was threatening to trade inside a close channel, as it did for most alts. Chainlink has increased by more than 37% in the last 7 days, with the altcoin reaching an all-time high of $44.15 only a few hours ago.
In particular, the above increase was followed by an increase in trade volumes.
LINK’s technological indicators supported the altcoin’s price movement. Although the dotted indicators of the Parabolic SAR were below the price candles, the MACD line was rising way above the signal line and the histogram, indicating that the alt’s demand was strongly skewed towards the bulls.
Many expect Chainlink to go on a long price run as a result of its ATH, with its rally expected to propel it to the top of the altcoin market.
Dash, one of the market’s leading privacy coins, has seen its value skyrocket in the last week or so, with the alt appreciating by almost 50% in only one week. The magnitude of the increase has been shocking, to say the least, particularly given Bitcoin’s failure to capitalise on its most recent ATH in order to consolidate its position higher on the charts.
At the time of publication, the alt’s technical measures were all pointing in the direction of the market’s bulls. The Relative Strength Index had flattened in the overbought region as the mouth of the Bollinger Bands widened to highlight more near-term market uncertainty. This implied that there could not be any further upside, and that a correction was imminent.
Although the cryptocurrency remains common with many members of the society, privacy coins have often come under fire from governments and the news media. As an example, as part of its sanctions against Russia, the Biden administration blacklisted an address containing Dash.
After the market-wide depreciation on March 25th, DigiByte has been on a steady uptrend, punctuated by a string of brief corrections. The aforementioned uptrend, however, has picked up speed in recent days, with DGB surging by 55% in just four days. With healthy trade rates and consistent market volatility over the last few weeks, it would seem that a pattern turnaround was unlikely to occur anytime soon.
Although the Awesome Oscillator’s histogram was flashing bullish signals, the Chaikin Money Flow was climbing towards 0.20, highlighting the market’s increasing capital inflows.