Bitcoin's False Breakout Sparks Major Pullback: Is the Bullish Trend Still Intact?

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Cryptocurrency Market Overview

According to CoinMarketCap, the total cryptocurrency market capitalization experienced significant volatility last week. On August 18, it reached a yearly high of $387.1 billion, followed by a multi-day correction that bottomed at $353.6 billion on August 22—an 8.6% decline. The market has since stabilized, showing gradual recovery. As of now, the total crypto market cap stands at $364.7 billion.

Bitcoin Dominance Trends

Data from CoinMarketCap reveals Bitcoin's dominance currently at 59.17%, marking a steady decline since the start of the year (down from nearly 70% in January). This shift reflects the rise of altcoins, particularly in Q2 2024, with strong performances from ETH, XRP, and LINK (now a top-10 asset). The "Others" category now represents 15.69% of the market—a clear indicator of diversifying investor interest.

Weekly Altcoin Snapshot

Key price movements (based on Binance data as of August 24, 8:00 AM UTC):

CoinPrice (8/17)Price (8/24)7-Day Change
BTC$11,890$11,920+0.25%
ETH$420$395-5.95%
XRP$0.30$0.28-6.67%
LINK$14.50$16.20+11.72%

ZMET Indicator Insights

USDT Pair Analysis

BTC Pair Divergence

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BTC Technical Outlook

Trading Tip: Consider BTC/USDT grid trading with 0.7%–1.3% profit per grid to capitalize on range-bound volatility.

FAQs

Q1: Is Bitcoin still in a bull market?
A: Yes, despite the pullback, the higher low structure and 59% dominance suggest underlying strength.

Q2: Why are altcoins outperforming BTC?
A: Seasonal rotation into high-beta assets and protocol-specific developments (e.g., Chainlink's CCIP adoption).

Q3: When might BTC resume its uptrend?
A: A daily close above $12,500 with rising volume would confirm trend continuation.

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Final Thoughts

The crypto market remains dynamic, with Bitcoin's resilience supporting broader optimism. While short-term fluctuations are expected, the bullish macro trends—institutional adoption, halving cycles, and DeFi integration—continue to drive long-term value.

All data sourced from public APIs; not financial advice. Always conduct independent research.


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