ALTCOINS SEASON

We saw Bitcoin rally past the key price of $30,000 last week taking it to a level seen last year summer. The huge rally that Bitcoin saw last week made its dominance which had risen for months drop. This decline in Bitcoin dominance is a very important sign because it shows that Altcoins dominance is about to come. There are some reasons why we saw Bitcoin, it is only because of short squeezes but also macro factors. The macro factor is that customers' inflation and producer inflation for March both came in lower than what people expected and this lets us know that there is a bigger chance that the FED may pause the rate hike at its May Meeting. The Altcoin rally is the interesting part of it because it appears that the rally may have been caused by the success of Ethereum's Chappella upgrade. Of course, ETH was the first Altcoin rally because they have just finished a successful upgrade.

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If you look at the ETH chart, you will see that Ethereum has been rapidly gaining in BTC terms over the last 7 days. I think it is because of the uncertainty around the Chappella upgrade. Most other Altcoin has been seeing the same gain against BTC, it could be because of the success of the Chappella upgrade. Initially, a lot of people were worried that the SEC would attack Ethereum after the Chappella upgrade based on the fact that Garry Gensler has said all Proof of Stake cryptocurrencies are securities. There is no big surprise that most of the cryptocurrencies that have been massive gains are PoS cryptocurrencies. You should know that this doesn't mean the price of BTC couldn't rally in the short or medium term.

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If you look at the Bitcoin chart, the Bolliger Band moving average on Bitcoin's monthly chart is currently around $33,000 and $34,000 and the technical analysis expert are also targeting that level. We are starting to see Ethereum killers as people say starting to spring forth again and it is letting us know that speculation is back in the market. The cryptocurrency Fear and Greed index are also showing that the market is greedy which means that the market could retrace a little. I think we are in a sustained bull market but some other people might have a contrary opinion because cryptocurrency is still experiencing regulatory scrutiny and interest rate still rising.