Bitcoin may hit $50K on altcoin ‘FUD’ as Ethereum, Solana beat gains

Bitcoin (btc) struggled to stay above $43,000 until December 8 as a surge in altcoins put Ether (ETH) In the spotlight.

BTC/USD 1-hour chart. Source: TradingView

ETH and SOL step forward as Bitcoin gains liquidity

Data of Markets Cointelegraph Pro and TradingView showed continued BTC price consolidation as ETH/USD added up to 7.6% in about 24 hours.

Bitcoin, having taken advantage new 19-month highs of $44,490 At the beginning of the week, now market participants have problems like ETH and Solana (SUN) stole the spotlight.

Noting Bitcoin's share of the overall crypto market capitalization, popular analyst Matthew Hyland described the recent progress as a possible "false breakout."

The dominance reached 55.26% on December 6, in line with BTC price highs, the highest reading since April 2021.

“You would have to close above support to avoid; currently below”, Hyland wrote in part of the comment on X (formerly Twitter), referring to the key 54.35% mark.

At the time of writing this report, dominance was below this level, around 53.9%.

Bitcoin crypto market cap dominance 1-week chart. Source: TradingView

Some major altcoins took advantage of the situation, with ETH/USD reaching $2,392 before seeing a modest correction of its own on the day.

ETH/USD 1-week chart. Source: TradingView

SOL/USD Hit $72.88 on Bitstamp, Highest Since May 2022, Investors Say increase bullish bets on three figures entering the future.

SOL/USD 1-week chart. Source: TradingView

Commenting on the current status quo, research firm Santiment argued that fear, uncertainty and doubt, or FUD, around an altcoin breakout could ultimately help Bitcoin.

“Traders fear that cryptocurrency markets may be in a bull trap right now,” reasoned on December 7th.

“But while Bitcoin may have halted its momentum for the moment, Ethereum and altcoins are taking off once again. “FUD could push $BTC to $50,000 if it rises.”

Crypto social media volume data. Source: Santimento/X

An accompanying chart showed data covering social media activity for the phrases “bull trap” and “bear trap,” which refer to current cryptocurrency price action.

Keep faith in more advantages

Elsewhere, Bitcoin market participants saw encouraging signs in the current BTC price drop.

Related: Bitcoin HODL Waves: 2020 Bull Market Buyers Now Control 16% of Supply

Popular trader Credible Crypto, known for his bullish outlook on Bitcoin in the current environment, argued that accumulation was underway ahead of the “next leg” of the largest cryptocurrency.

As Cointelegraph reportedHowever, some believe that a much larger correction is due, which could return the market to $30,000 or even closer to $20,000 before new all-time highs are reached.

This article does not contain investment advice or recommendations. Every investment and trading move involves risks, and readers should conduct their own research when making a decision.