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Here’s how altcoins could be shaping up for a market reversal
['Lennox Gitonga', 'Olayiwola Dolapo', 'Samyukhtha L Km', 'Ishika Kumari', 'Adewale Olarinde', 'Erastus Chami', 'Lennox Gitonga Is A Financial Market', 'On-Chain Analyst At Ambcrypto', 'Bringing The Rigor Of Traditional Financial Analysis To The Digital Asset Space. With A Bachelor Of Commerce In Finance', 'He Possesses A Strong Academic Foundation In Market Principles']
AMBCrypto
Setting Bitcoin aside, altcoins were displaying a couple of factors that hinted at a potential reversal.
The Open Interest of the biggest altcoin, Ethereum [ETH], had made a double bottom, suggesting a potential reversal was building.
With that in mind, what else hinted at this potential reversal?
The 30% drop in open interest on Bitcoin flushed excess leverage from the market, as altcoins followed BTC in this.
Altogether, the markets were shaping for a reversal, but there was no certainty when this would happen.