Cryptocurrency Market Update: Altcoins Struggle Against Bitcoin

Introduction
The cryptocurrency landscape is witnessing a challenging period as the overall altcoin market capitalisation continues to show a downtrend against Bitcoin ($BTC). While local support levels have provided intermittent bounces in the past, the market remains cautious and in need of significant capital – often referred to as "mass money" – to reverse this trend.

Current Market Analysis

• Altcoin Downtrend: Despite various bounces near key support levels, altcoins are still lagging in performance relative to Bitcoin.
• Bitcoin’s Resilience: Bitcoin continues to set the pace for the market, overshadowing altcoins with its robust performance.
• Local Support Levels: Historical data indicates that local support areas have prompted temporary bounces, yet they haven't sparked a sustained recovery.

Expert Insights and Strategic Considerations

• Capital Influx Needed: In the absence of significant institutional or retail investment inflows, the altcoin market is unlikely to break its downtrend soon.
• Building a Crypto Portfolio: Investors seeking to 'build a crypto portfolio' should consider balancing Bitcoin exposure with a selective, research-driven approach to altcoins.
• Crypto Tax Tips: With numerous regulatory challenges and tax implications, staying updated on 'crypto tax tips' is vital for preserving gains and ensuring compliance.

Future Outlook

The market sentiment suggests that unless there is an injection of mass money into the altcoin sector, the prevailing downtrend may persist. Investors are encouraged to follow global crypto news closely, refine their crypto strategies, and always be mindful of tax considerations when constructing and managing a diversified portfolio.

Takeaways

• Bitcoin remains the benchmark in crypto markets, overshadowing altcoins.
• Local support levels have driven intermittent bounces but not a sustained recovery in the altcoin market.
• Careful portfolio construction and staying informed on crypto tax regulations are essential in today’s market.