Bitcoin (BTC) Price Will Likely End August with a Bearish Outlook, But Altcoin Industry Positioned for a Rebound in the Near Term

Less than 72 hours to the monthly close, it is more evident that Bitcoin’s (BTC) price will likely end the turbulent August with a bearish outlook.

With less than 72 hours to the monthly close, it is becoming increasingly clear that Bitcoin (BTC) will likely end the turbulent August on a bearish note. However, Bitcoin price has established a strong support level above $58k in the last few weeks, positioning the altcoin industry for a further near-term rebound.

A technical crypto analysis by CryptoQuant shows that the crypto industry is likely to continue in short-term consolidation as the correlation between altcoins and Bitcoin remains positive. As a result, we can safely deduce that the positive correlation between Bitcoin and the altcoins, amidst heightened fear of a possible crypto selloff in September, could present long-term buyers with an opportunity to accumulate more at discounted rates.

Analysis of Altcoins' Correlation with #Bitcoin

“Altcoins are still demonstrating a positive correlation, showing that despite individual variations, they are following Bitcoin's movement. This behavior reinforces the idea that, at the moment, the market is moving in unison with… pic.twitter.com/VqR00xbVFE

According to CryptoQuant’s data, altcoins such as Bancor Network (BNT), Axie Infinity (AXS), Chainlink (LINK), Algorand (ALGO), and Cardano (ADA) are showing the highest correlation with Bitcoin.

On the other hand, CryptoQuant’s data shows that altcoins such as Dash (DASH), Curve DAO (CRV), dYdX (DYDX), BNB, and My Neighbor Alice (ALICE) have the lowest correlation levels, indicating that they are moving more independently of Bitcoin.

Anticipated Timelines For the Altseason

The timeline for the next altcoin bull run remains a subject of paramount interest among crypto investors. The yearning for a parabolic altcoin rally is evident after the crypto trades remained trapped in a bear market for the past three years.

The anticipated interest rate cut in the United States before the end of this year, amid the upcoming general elections, is expected to trigger the next phase of the crypto bull market, which will largely favor the altcoin industry.

The inevitable reversal of the macro Bitcoin dominance in the near term, amid rising demand for web3 protocols and digital assets, is a top indicator for an upcoming altseason.