Bitcoin’s side price allows DeFi, Ethereum and altcoin to rise

November 10, 2020 Coin Payment

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Over the past two days, Bitcoin’s price has been trading between $ 14,800 and $ 15,500, but the flagship digital asset has struggled to flip $ 15,500 to support.

On the positive side, BTC continues to make higher lows and at the time of writing the price is trying to break the range but still faces resistance at $ 15,500.

As the price of BTC has bounced back and forth, select DeFi altcoins and tokens have capitalized on the consolidation phase and turned bullish.

As Messari pointed out today in a tweet, DeFi tokens such as Yearn Finance (YFI), AAVE, Balancer, and UNI have all gone up by double digits. Notably, YFI gained around 160% after hitting a bottom at $ 7,444 on Nov 5th, and over the past two days, AAVE has experienced an absolute slump as the token climbed 175% from $ 25.87 to $ 70. 91.

In addition to these tokens, a handful of smaller cap tokens on decentralized exchanges are also reaping gains, and data from Dune Analytics signals that investors are starting to become more active in the DeFi space again.

Daily DEX volume. Source: Dune Analytics

As DEX volumes increase, the number of daily active users also increases, and today the industry hit a new record as DeFi Pulse noted that the total value locked in DEX platforms rose to $ 12.87 billion.

Total value locked in DeFi (USD). Source: DeFi Pulse

While it is probably too early to call for an altseason, Ether (ETH) has returned to the upside and the altcoin has broken through its pennant structure and rallied to $ 466.60 in the past 3 hours.

ETH / USD 4-hour chart. Source: TradingView

Analysts also noted that the ETH / BTC pair broke from its bearish trend and is currently climbing towards the 0.32323 sats resistance.

ETH / BTC daily chart. Source: TradingView

Historically, altcoins tend to rise when Bitcoin’s price is sideways, and the strengthening of Ether’s fundamentals could be a sign that DeFi and altcoin may be on the verge of a turnaround.

For the short term, traders will be watching to see if BTC can turn the $ 15,500 to $ 16,000 level to support this some bullish altcoins are likely to rise. Alternatively, if the price of BTC remains sideways over the next few days, there could be continued advancement from the best DeFi tokens and a handful of altcoins.