I have a question that's been nagging me. If your alt coin is traded in Bitcoin shouldn't the price of that coin relative to bitcoin remain the same regardless of the price of Bitcoin. Does that mean when Bitcoin is going down people start dumping their altcoins? If so why do they do this. Picture unrelated.
In fact shouldn't the price of all the coins go up overall when Bitcoin crashes.
>>3006580
>If your alt coin is traded in Bitcoin shouldn't the price of that coin relative to bitcoin remain the same regardless of the price of Bitcoin
Are you confusing the concepts of price and value? If the value of btc is increasing that doesn't increase the value of an alt, the price of the alt in terms of btc will decrease so that the price still reflects the value.
>In fact shouldn't the price of all the coins go up overall when Bitcoin crashes
Yes, and it usually does - the btc value of my portfolio tends to go up when the usd value of bitcoin drops and vice versa... but it's hard to see because everything depends on the total crypto market cap and 40% of that stays in btc.
But yeah, btc value up = btc prices of alts down, btc value down = btc prices of alts up.
>>3006810
So the problem is too small of a sample size. That would make sense.
>>3006580
When the price of Bitcoin is going down people start to dump their altcoins to hold Bitcoin and ride the price back up, that is correct.