Crypto Altcoins risks dangerous collapse as three-year triangle is resolved

During the encryption bubble that made Bitcoin a household name, altcoins exploded to historic heights and generated wealth that changed the lives of early investors.

Since then, there has been a three-year descending trajectory that is on the verge of further absorption, putting the altcoins in danger of extinction.

Bitcoin halving overwrites battered crypto assets even more

Bitcoin's halving is there, and the interest goes back to the crypto space. However, this interest goes almost entirely to Bitcoin, leaving altcoins like Etheruem XRP and others in their dust.

Capital is pouring in from alts and into BTC in the hope that halving Bitcoin will cause prices to soar in the coming days.

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The fight to buy more Bitcoin has pushed altcoin investors to give up their holdings in exchange for BTC. This is evident in almost all of the altcoins in their BTC trading pairs, which have recently fallen to new lows in the bear market.

The total market capitalization of total altcoin, excluding Bitcoin, when combined with BTCUSD at TradingView, provides a clear visual view of health altcoins.

A massive three-year pattern formed on the metric chart, which could indicate a dangerous collapse at heights that could lead to prices from 2016.

The altcoins could face a number of deaths if it closed each week outside the three-year triangle

The total capitalization of the altcoin market combined with BTC acts as a reverse bitcoin domain chart, providing a better overview of the balance between alts and Bitcoin.

During the explosive bomb at its all-time high in late 2017 and early 2018, Bitcoin's dominance fell to the lowest in history. Since then, it has followed an upward trend that has not yet stopped.

It looks like an investment is taking place, but the last price action has caused a massive symmetrical triangle to form.

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The interest in halving Bitcoin has prompted altcoin holders to purge their remaining holdings in exchange for Bitcoin. The change in the flow of money brought the alt out of the triangle in weekly installments.

If the weekly candle closes below this line, alternative currencies could be in danger of seeing their valuations fall to pre-2017 levels, with many reaching close to zero.

The only savior for alt is the fact that it was the last half of Bitcoin that caused the first big altcoin season, and that is what put Bitcoin dominance on a downward trajectory for the first time.

If it happens again, this latest collapse is just a bear trap before takeoff of alternative currencies.

Featured image from Pixabay