On Tuesday, the bulls showed they had full control of the crypto market as Bitcoin (BTC) surged to $ 19,418.97 and several top 10 altcoins climbed double-digit to new highs in 2020.
Notable top performers of the day were Stellar Lumens (XLM) and XRP with gains of 53% and 38%, respectively.
For all the excitement and anticipation over the possibility that BTC could move to $ 20,000, crypto traders may have missed an equally impressive performance in traditional markets.
On the same day, the Dow also gained more than 400 points and secured a new all-time high of 30,046. The S&P 500 and Nasdaq followed at 1.6% and 1.3%.
According to market analysts, the development of three effective COVID-19 vaccines is seeing low interest rates as part of Federal Reserve policy, the possibility of a second round of economic stimulus, and the increasing pace of the shift in power between the Trump administration and President-elect Biden is giving markets one much needed confidence boost.
At the time of writing, futures on the S&P 500 and Nasdaq are also rising, suggesting that today’s rally could continue at Wednesday’s opening bell.
Since the start of the year, the DOW is up 6.84% and the S&P 500 is up 10.73%. While these are good returns for any investor’s portfolio, Bitcoin far outperformed it with a 166.67% increase, according to Skew.
Surprisingly, ether continued to outperform bitcoin, and last week the senior altcoin entered a parabolic rally that pushed the price to a 2020 high of $ 623.
Usually, Bitcoin and Ether (ETH) prices get most of the media coverage of their price movements, but this week has shown that altcoins shouldn’t be overlooked.
While the two largest digital assets by market cap have seen a staggering rally since the start of the year, data from TheTIE, a provider of social analytics data, shows that lower cap altcoins are also making serious waves.
In the past 24 hours, tweet volumes for select altcoins have skyrocketed and many altcoins have made gains on their BTC, USD, and USDT pairs.
After such a strong rally in Bitcoin, the digital asset could enter a brief period of consolidation or even retest lower supports. Historically, in these situations, funds flow into altcoins and cause them to go higher.
If Bitcoin enters sideways territory in the coming days, investors can repeat this practice and thus extend the current rally among altcoins.