In summary:
- Alt-coins have not been sparred by the ongoing crypto market turmoil.
- GVT/BTC experienced a recent low at 8,800.
- Despite considerable gains since then as the crypto markets find a footing, the altcoin is most likely set for a double bottom and possible reversal.
The popularity of trading alt-coins has suffered a few setbacks over the years as a result of the digital assets being highly correlated to the price action of Bitcoin. In the case of the latter, BTC has been recently observed as being highly correlated to the S&P 500 due to the economic effects of the Coronavirus. As a result, the Genesis Vision (GVT) token experienced a new low on the 16th of March. This was a few days after Bitcoin fell hard between the 12th and 13th of this month.
GVT/BTC Finds Support around 8,800 Sats
Taking a look at the GVT/BTC chart courtesy of Tradingview.com, we find that the token has considerable support around the 8,800 Satoshi level that was tested on the 16th of this month. The token looks set to revisit this area for a possible double bottom if current bearish market conditions prevail. This is based on the simple fact that the current price at 10,250 Sats is below the 50 (white) moving average and also the larger 200 (green) moving average.
If GVT/BTC does indeed bounce from this level of support, it has two resistances to overcome at 10,920 Sats and 11,690 Sats respectively.
The Case for Trading USDT Pairs
On a macro level, the GVT/BTC pair has been in clear bear territory since October 2018 thus pleading the case for the trading of alt-coins denominated in stablecoins such as Tether (USDT). Such pairs provide crypto traders with a better visual cue of price movement relative to a known fiat currency.
As more alt-coins face prolonged bear markets, USDT pairs provide a better analysis of the general direction of the digital asset. When such a visual is obtained, a trader can make a more informed decision regarding their investment and/or trade. A good example is our recent analysis of KEY/USDT.
In the case of GVT, its USDT chart also points towards a prolonged bear market thus confirming the earlier observation that the token is headed for rougher times.
About Genesis Vision
Genesis Vision is a decentralized digital asset management platform. Its design allows for the matching of crypto investors with seasoned traders. The latter are referred to as Genesis Vision managers and they trade using a pool of funds assigned to them based on their reputation. As a result, any profit generated is shared between the managers and investors.
The platform is available on Android and iOS in addition to the web-version. Due to the sensitive nature of any kind of investment agreement between two parties, Genesis Vision caries out standard KYC procedures for both investors and managers.
(Feature image courtesy of Komal Brar on Unsplash.)
Disclaimer: This article is not meant to give financial advice. Any additional opinion herein is purely the author’s and does not represent the opinion of Crypto Gazette or any of its other writers. Please carry out your own research before investing in any of the numerous cryptocurrencies available. Thank you.