Bitcoin has been the leading digital currency in the market, paving the way for other cryptocurrencies to follow. However, according to crypto analyst Ran Neuner of Crypto Banter, right now Bitcoin needs backup to break through critical levels and bring in more big money.
Total Market Cap Holds the Key
The crypto total market cap is a crucial chart that determines the influx of support for not just Bitcoin, but other cryptocurrencies as well. Currently, Bitcoin is the warrior, fighting a huge battle to get to higher levels without any backup or support. However, the total market cap is hovering below the levels of Bitcoin, which means that support is yet to come in.Neuner believes that the total market cap is crucial for the big rally to happen, and two major gaps in the chart need to be filled. If the first gap is broken, there could be a 60% growth in the total market cap, which would bring in much-needed support for Bitcoin and the others.
A Two-Legged Wave
Neuner sees a two-legged wave in Bitcoin’s future, with the first leg going up to the range of $29,000 to $33,000. Once Bitcoin slows down in this range, the altcoins and the total market cap will catch up. This catch-up will push ethereum ethereum Blockchain NetworkTechnology to levels of $2,200 to $2,400, and the alts will follow suit.The second leg will take Bitcoin to higher levels, possibly to the $34,000 range, and this is when the whole market will run. The total market cap needs altcoins to support it, and the rally from the first leg to the second leg will require a rally of $200 billion to $500 billion, respectively. At least that’s what Neuner thinks.
Bitcoin dominance is another crucial factor in the cryptocurrency market, and Neuner sees a double-legged wave here as well. Bitcoin dominance has broken the high and is going higher, indicating that Bitcoin’s rally is not over yet. However, the rally will come to a temporary stop in the range of $30,000, causing a wick down in the dominance and the market.This wick-down will cause a catch-up in the total market cap, and the altcoins will pump, pushing the total market cap to break critical levels. The dominance will grow again, and Bitcoin will move up to higher levels. Bitcoin was worth $27,849 at the time this article was being written.