We have argued many times in the past that the correlation between the price of Bitcoin and the market capitalization of hundreds of altcoins makes very little sense.
Whether you buy into the idea that Bitcoin is digital gold, or a payment mechanism, or both, it doesn't have much in common with Ethereum, Shiba Inu, or the native FTX exchange token.
Well, like it or not, big movements in the price of Bitcoin define the crypto markets.
Before Bitcoin slid from the latest all-time high above $ 68,000 to the $ 55,000 region last week, dragging most altcoins with it, the crypto market had seen six consecutive weeks of virtually uninterrupted growth.
But as soon as the market turns red, as it did last week, many traders tend to succumb to three old enemies: fear, uncertainty, and doubt (FUD).
That's why we say: FUD that. Experienced cryptocurrency traders know that correction periods can also present profit opportunities. AND Cointelegraph Markets Professionals The VORTECS โข own score found six of the top ten performing altcoins last week, even as the market crashed.
Unparalleled bullfights, similar corrections?
The VORTECS โข score is a machine learning-powered trading algorithm that compares historical and current market conditions in digital asset markets to help crypto traders make decisions.
The model takes a series of quantitative indicators, including price movement, social sentiment, and trading activity, to arrive at a score that assesses whether current conditions are historically bullish, neutral, or bearish for more than 200 cryptocurrencies.
A VORTECS โข score of 80 or higher is confidently considered bullish for the next 12 to 72 hours. Assets that achieve such scores exhibit fixes of key business and social variables that occurred in the past before significant price increases.
The table below shows ten altcoins that yielded a significant ROI between November 11-18, the week that Bitcoin plummeted from $ 68,000 to $ 58,000.
In bold are tokens that achieve a VORTECS โข score of 80 or higher before reaching their maximum price for the week.
Six of the best crypto trading opportunities
Six out of 10 of the week's best-performing assets exhibited trading and social behavior patterns that closely resembled historically bullish combinations before rebounding.
- The sandbox (ARENA)
- Crypto.com Currency (CRO)
- Voyager (VGX)
- Red Koinos (KOIN)
- TomoChain (TOMO)
- AirSwap (AST)
Six out of ten is significant, given that the total number of tokens they produced some earnings have been very modest.
What does it say about the nature of the crypto market? When things are bullish, altcoins can rally for an infinite number of reasons, often simply due to a favorable macro context and the exuberance taking over the market.
But when much of the market is moving south, the analysis suggests that tokens backed by strong trading activity and high social sentiment are more likely to counter the trend.
These are also the times when traders need reliable data analytics to further inform their strategies. When the ground is lava, it helps to have an extra pair of algorithmic eyes sifting through millions of data points to identify potential safe havens.
This is exactly what VORTECS โข Score is trained to do.
Cointelegraph is a financial information publisher, not an investment advisor. We do not provide personalized or individualized investment advice. Cryptocurrencies are volatile investments and carry significant risk, including the risk of permanent and total loss. Past performance is not indicative of future results. Figures and graphics are correct at the time of writing or as otherwise specified. Live tested strategies are not recommendations. Consult your financial advisor before making financial decisions.
