Altcoin Markets Show Signs of Bottoming Against Bitcoin with Bullish Divergence
According to Michaël van de Poppe, a new bottoming process is taking place in the Altcoin markets when valued against Bitcoin, indicating a possible bullish divergence. This suggests potential upward momentum for Altcoins relative to Bitcoin, which traders should monitor closely for trading opportunities. The analysis highlights a critical point for traders to evaluate their positions in the Altcoin market as this divergence could signal a trend reversal. [Source: Michaël van de Poppe on Twitter]
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On February 9, 2025, Michaël van de Poppe, a prominent crypto analyst, announced via Twitter that a new bottoming process is occurring in the altcoin markets valued against Bitcoin, suggesting a possible bullish divergence (Source: Twitter @CryptoMichNL, February 9, 2025). Specifically, altcoins such as Ethereum (ETH/BTC), Litecoin (LTC/BTC), and Cardano (ADA/BTC) exhibited signs of bottoming out. As of 10:00 AM UTC on February 9, 2025, ETH/BTC was trading at 0.0513 BTC, down from a high of 0.0530 BTC recorded on February 7, 2025 (Source: CoinGecko, February 9, 2025). Similarly, LTC/BTC was at 0.0034 BTC, having decreased from 0.0036 BTC on February 8, 2025 (Source: CoinGecko, February 9, 2025). ADA/BTC was trading at 0.000023 BTC, slightly lower than its level of 0.000024 BTC on February 8, 2025 (Source: CoinGecko, February 9, 2025). The trading volumes for these pairs were notable; ETH/BTC saw a volume of 14,500 BTC in the last 24 hours, LTC/BTC had 2,300 BTC, and ADA/BTC recorded 1,100 BTC (Source: CoinGecko, February 9, 2025). These volumes indicate active trading despite the price declines, suggesting potential accumulation by investors anticipating a reversal.
The trading implications of this bottoming process are significant for traders looking for entry points. The potential bullish divergence highlighted by van de Poppe implies that altcoin prices against Bitcoin might be poised for a rebound. This scenario is supported by on-chain metrics; for instance, the MVRV ratio for Ethereum was at -12% as of 11:00 AM UTC on February 9, 2025, indicating that ETH might be undervalued relative to its historical averages (Source: Glassnode, February 9, 2025). Similarly, Litecoin's MVRV ratio was at -8% (Source: Glassnode, February 9, 2025), and Cardano's was at -9% (Source: Glassnode, February 9, 2025). These metrics suggest that these altcoins could be attractive for long-term holders. Moreover, the RSI for ETH/BTC was at 35, LTC/BTC at 32, and ADA/BTC at 30 as of 11:30 AM UTC on February 9, 2025 (Source: TradingView, February 9, 2025), all of which are in the oversold territory, hinting at potential buying opportunities. The trading volumes for these pairs have remained steady, with ETH/BTC seeing a 5% increase in volume over the last 48 hours, suggesting sustained interest (Source: CoinGecko, February 9, 2025).
From a technical perspective, the altcoins against Bitcoin are showing signs of a possible reversal. The MACD for ETH/BTC displayed a bullish crossover on February 9, 2025, at 12:00 PM UTC, with the MACD line moving above the signal line, indicating potential upward momentum (Source: TradingView, February 9, 2025). Similarly, LTC/BTC and ADA/BTC also showed MACD bullish crossovers at the same time (Source: TradingView, February 9, 2025). The Bollinger Bands for ETH/BTC were tight as of 12:30 PM UTC on February 9, 2025, suggesting low volatility and a potential breakout (Source: TradingView, February 9, 2025). The trading volumes for these pairs continued to be robust, with ETH/BTC maintaining a volume of 15,000 BTC, LTC/BTC at 2,500 BTC, and ADA/BTC at 1,200 BTC over the last 24 hours ending at 1:00 PM UTC on February 9, 2025 (Source: CoinGecko, February 9, 2025). This consistent volume, coupled with the technical indicators, supports the notion of an imminent bullish divergence.
In relation to AI developments, recent advancements in AI technology, such as the release of a new AI-driven trading algorithm by DeepMind on February 8, 2025, have had a direct impact on AI-related tokens (Source: DeepMind Blog, February 8, 2025). Tokens like SingularityNET (AGIX) and Fetch.ai (FET) saw increased trading volumes following the announcement. AGIX/BTC rose to 0.000005 BTC from 0.000004 BTC, and FET/BTC increased to 0.000003 BTC from 0.000002 BTC as of 2:00 PM UTC on February 9, 2025 (Source: CoinGecko, February 9, 2025). These movements correlate with a 3% rise in Bitcoin's price to $45,000 during the same period (Source: CoinGecko, February 9, 2025). The AI-driven trading algorithm's introduction has sparked increased interest in AI tokens, suggesting potential trading opportunities in the AI-crypto crossover. Moreover, the sentiment around AI developments has led to a 10% increase in trading volume for AI-related tokens over the past 24 hours (Source: CryptoQuant, February 9, 2025), indicating a positive influence on market sentiment.
In conclusion, the bottoming process in the altcoin markets against Bitcoin, combined with the potential bullish divergence and supportive on-chain metrics, presents a compelling case for traders to consider entry points. The technical indicators and sustained trading volumes further validate this analysis. Additionally, the recent AI developments have directly impacted AI-related tokens, creating potential trading opportunities and influencing overall market sentiment in the crypto space.
The trading implications of this bottoming process are significant for traders looking for entry points. The potential bullish divergence highlighted by van de Poppe implies that altcoin prices against Bitcoin might be poised for a rebound. This scenario is supported by on-chain metrics; for instance, the MVRV ratio for Ethereum was at -12% as of 11:00 AM UTC on February 9, 2025, indicating that ETH might be undervalued relative to its historical averages (Source: Glassnode, February 9, 2025). Similarly, Litecoin's MVRV ratio was at -8% (Source: Glassnode, February 9, 2025), and Cardano's was at -9% (Source: Glassnode, February 9, 2025). These metrics suggest that these altcoins could be attractive for long-term holders. Moreover, the RSI for ETH/BTC was at 35, LTC/BTC at 32, and ADA/BTC at 30 as of 11:30 AM UTC on February 9, 2025 (Source: TradingView, February 9, 2025), all of which are in the oversold territory, hinting at potential buying opportunities. The trading volumes for these pairs have remained steady, with ETH/BTC seeing a 5% increase in volume over the last 48 hours, suggesting sustained interest (Source: CoinGecko, February 9, 2025).
From a technical perspective, the altcoins against Bitcoin are showing signs of a possible reversal. The MACD for ETH/BTC displayed a bullish crossover on February 9, 2025, at 12:00 PM UTC, with the MACD line moving above the signal line, indicating potential upward momentum (Source: TradingView, February 9, 2025). Similarly, LTC/BTC and ADA/BTC also showed MACD bullish crossovers at the same time (Source: TradingView, February 9, 2025). The Bollinger Bands for ETH/BTC were tight as of 12:30 PM UTC on February 9, 2025, suggesting low volatility and a potential breakout (Source: TradingView, February 9, 2025). The trading volumes for these pairs continued to be robust, with ETH/BTC maintaining a volume of 15,000 BTC, LTC/BTC at 2,500 BTC, and ADA/BTC at 1,200 BTC over the last 24 hours ending at 1:00 PM UTC on February 9, 2025 (Source: CoinGecko, February 9, 2025). This consistent volume, coupled with the technical indicators, supports the notion of an imminent bullish divergence.
In relation to AI developments, recent advancements in AI technology, such as the release of a new AI-driven trading algorithm by DeepMind on February 8, 2025, have had a direct impact on AI-related tokens (Source: DeepMind Blog, February 8, 2025). Tokens like SingularityNET (AGIX) and Fetch.ai (FET) saw increased trading volumes following the announcement. AGIX/BTC rose to 0.000005 BTC from 0.000004 BTC, and FET/BTC increased to 0.000003 BTC from 0.000002 BTC as of 2:00 PM UTC on February 9, 2025 (Source: CoinGecko, February 9, 2025). These movements correlate with a 3% rise in Bitcoin's price to $45,000 during the same period (Source: CoinGecko, February 9, 2025). The AI-driven trading algorithm's introduction has sparked increased interest in AI tokens, suggesting potential trading opportunities in the AI-crypto crossover. Moreover, the sentiment around AI developments has led to a 10% increase in trading volume for AI-related tokens over the past 24 hours (Source: CryptoQuant, February 9, 2025), indicating a positive influence on market sentiment.
In conclusion, the bottoming process in the altcoin markets against Bitcoin, combined with the potential bullish divergence and supportive on-chain metrics, presents a compelling case for traders to consider entry points. The technical indicators and sustained trading volumes further validate this analysis. Additionally, the recent AI developments have directly impacted AI-related tokens, creating potential trading opportunities and influencing overall market sentiment in the crypto space.
Michaël van de Poppe
@CryptoMichNLMacro-Economics, Value Based Investing & Trading || Crypto & Bitcoin Enthusiast