When altseason? Here is why Bitcoin is leaving important altcoins like Ethereum at the rear of

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Ether (ETH), the native cryptocurrency of the Ethereum blockchain, has been lagging powering Bitcoin (BTC). Traditionally, when BTC surges, altcoins have a tendency to rally with more substantial upside rate movements.

This time, Bitcoin has been evidently outperforming the altcoin sector, particularly in December. BTC market cap dominance has not long ago risen to a a single-yr substantial of around 70%, mostly owing to the major sell-off in XRP in the earlier 7 days. 

BTC/USD vs. ETH/BTC (yellow), LTC/BTC (orange), XRP/BTC (blue) 1-day candle chart (Bitstamp). Resource: Tradingview

The change in the selling price discovery of Bitcoin

The big difference between the present-day cost craze of Bitcoin and earlier bull cycles in 2018 and 2019 is that BTC has entered price discovery.

Merely put, price tag discovery is when an asset’s selling price surpasses the past high and keeps going into uncharted territory. Altcoins typically become stagnant when Bitcoin enters rate discovery since BTC sucks up the volume from the altcoin market place.