Altcoin Index

Altcoin Index is a way to know what’s going on in the cryptocurrency market concerning ordinary currencies. Such an instrument introduces the so-called trading corridor for those involved in trading.

Interesting facts

The word ‘index’ is used in mathematics to show the relation between the two objectives. This index depicts the capitalization volume, speaking of all cryptocurrencies concerning the common currency. The most frequently used pair is ALT/USD.

The instrument was first introduced in 2017 to satisfy the increasing public interest in the cryptocurrency market. As long as it coincided with the Bitcoin pump, the Altcoin Index began moving at 5000 points.

However, the consecutive fall crashed quotes to 1700, and after this, the situation started to improve. This info demonstrates that the cryptocurrency capitalization has felt for about three times.

The instrument is generally used to help the traders with monitoring the cryptocurrency market’s condition and forecasting the trend. But a lot of exchanges have made the Altcoin Index open for trading via the options.

The trading process involves forecasting the changes in quotes. First, there is a step of making a prepayment. If the prediction is successful, your profit will depend on the difference between the quotation at the time it was opened, and the time it was closed.

Obtaining the option won’t lead to a money refund. It means that traders have to plan carefully and do not get engaged in strange transactions they aren’t sure about.

There is one more curious thing for traders: the Altcoin Index isn’t related to speculative figures and shows what’s going on in the market. You should know this to forecast in advance.

For instance, in January 2019, the Altcoin Index started growing, which proved the rising capitalization and steady interest in cryptocurrency. At the same time, the Bitcoin’s exchange rate (like other altos’ one) didn’t alternate.

By May 2019, the index went down, which led to the increasing costs of altcoins in the market. The cryptocurrencies went for correction when the unnatural pump was no longer working.

How to trade

As long as the index mentioned belongs to the area of mathematics, its values are determined only by the figures. First and foremost, we have to deal with cryptocurrency capitalization in the market. This factor depends typically on on-demand, which, in turn, is connected with the news.

The critique provokes the escaping of the investors. At this point, the news telling us about significant transactions for the cryptocurrency sale can turn out to appear on the Net.

This swing is a plan carefully prepared by the giants, who are rather big investors owning the majority of assets. They use market manipulation as a way to gain incredible benefits.

Thanks to Altcoin Index, you can see the funds moving and analyze the situation in the market. If the value has fluctuated by a few hundred points, it’s not too bad and shows specific stability of the market. The ups and downs, in this case, are generally provoked by the giants.

On the contrary, the significant rise or fall of the Altcoin Index demonstrates that some significant changes will take place in the market in a while. Being aware of it makes it useful to trade straight with cryptocurrencies and earn on options.

To do the second thing mentioned, it’s vital to carefully and fundamentally analyze everything to get the idea of the public’s mood. A trader has to differentiate positive trends and surges of enthusiasm.

Short-term instability can be harmful because you cannot predict it. An option can stop bringing benefits right before it will close. So, such a mechanism can be used just along the trend line.

It is beneficial because you don’t have to own digital assets. Payments can be processed in dollars. Bets are possible both on the fall of quotations and their rise.

Cryptocurrency quotes and chart

InstrumentDescriptionSpreadCost
Bitcoin Bitcoin / US dolar1009417.21
Bitcoin Cash Bitcoin Cash / US dolar35236.16
Monero Monero / US dolar562.91
Litecoin Litecoin / US dolar643.5
Zcash Zcash / US dolar749.507
Ripple Ripple / US dolar0.060.18198
Ethereum Ethereum / US dolar1.1229.45
IOTA IOTA / US dolar0.060.19867
NEO NEO / US dolar58.919
Ethereum Classic Ethereum Classic / US dolar1.16.738
EOS EOS / US dolar0.142.6539
Basic Attention Token Basic Attention Token / US dolar0.040.19018
Altcoin Index Altcoin Index / US dolar32704.75
OMISEGO OMISEGO / US dolar0.61.2921
DASH DASH / US dolar1174.174
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