Wintermute reports that altcoins are under pressure due to oversupply and token unlocks, leading to continued underperformance in price action. While institutional investors maintain interest in major cryptocurrencies, retail investors are gravitating back to top assets. The derivatives market is playing a significant role in price discovery, resulting in mixed signals between support and resistance levels, and causing intraday selloffs due to liquidations.
Despite expectations that traditional finance entry could provide mid-term support, the market remains volatile due to thin liquidity. Bitcoin and Ethereum continue to absorb most of the market risk, highlighting their dominance in the current crypto landscape.
Wintermute: Altcoins Struggle with Oversupply and Token Unlocks
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