Crypto coins grow on fear
Bitcoin’s dominance index went down by around 1%, which speaks of the growing demand for altcoins.
RSI index remains neutral, indicating the possible market swing in the near future. Meanwhile, Crypto Fear & Greed Index remained in the region of the “extreme fear” for over 30 days. These indicators usually warn of a sharp growth - this time there are very unusual reasons for it.
Cryptocoins' capitalization has gained US$17 billion over the past week and all the metrics appear to be positive and encouraging optimism. Bitcoin gained over 6%, reaching an almost 100% growth after the last low of March 13.
Altcoins had a great week. Ethereum - the leader of altcoins - went up by over 19%. Tezos broke a record as well, gaining over 20%. DASH, Monero and ZCash also saw significant growth.
The biggest driver of growth is, obviously, the coronavirus pandemic. The economic crisis, the layoffs and massive changes of the workplace encourage people to look for new ways to manage their finances.
Altcoins enjoy special attention for a slightly different reason, which is closer to the original dream behind cryptocurrencies. Governments around the world have increased their surveillance efforts to contain the spread of the virus. There is a belief, that even when the virus threat is over, the authorities will keep their new tracking tools in action. While Bitcoin is closely monitored, altcoins might provide for a better way to move funds anonymously.